Question

From the following information, calculate Total Income, Other Expenses, Total Expenses, Change in Inventory, Profit before Tax and Profit after Tax for the year ended 31st March, 2026 as per Schedule III, Part II of the Companies Act, 2013:

Particulars	₹
Opening Inventory of Finished Goods and Work-in-Progress	1,75,000
Cost of Material Consumed	7,50,000
Administrative Expenses	50,000
Selling and Distribution Expenses	87,500
Finance Cost	75,000
Loss on Sale of Machinery	62,500
Employees Benefit Expenses	3,00,000
Closing Inventory of Finished Goods and Work-in-Progress	1,00,000
Revenue from Operations	19,00,000
Other Income	1,00,000
Tax	1,50,000

Answer 1

Statement of Profit and Loss for the year ended 31st March, 2026
Particulars	Note No.	Amount (₹)
I. Revenue from Operations		19,000,000
II. Other Income		1,00,000
III. Total Income (I + II)		20,00,000
IV. EXPENSES
(a) Cost of Materials Consumed		7,50,000
(b) Changes in Inventories of Finished Goods and WIP	1	75,000
(c) Employee Benefit Expenses		3,00,000
(d) Finance Costs		75,000
(e) Other Expenses	2	2,00,000
Total Expenses		14,00,000
V. Profit Before Tax (III - IV)		6,00,000
VI. Less: Tax		(1,50,000)
VII. Profit After Tax (V - VI)		4,50,000

Notes to Accounts:

Note No.	Particulars	Amount (₹)	Amount (₹)
1	Changes in Inventories:		75,000
	Opening Inventory	1,75,000
	Less: Closing Inventory	(1,00,000)
2	Other Expenses:		2,00,000
	Administrative Expenses	50,000
	Selling and Distribution Expenses	87,500
	Loss on Sale of Machinery	62,500