Auto Parts Manufacturing Co. Ltd was registered with a nominal capital of Rs.10 crore divided into shares of Rs.10 each, of which 40 lakhs shares had been issued and fully called.The following is the Trial Balance extracted on 31st March, 2012.Rs ‘000 Rs ‘000Stock (1st April, 2011) 18642 Manufacturing Wages 10,974 Manufacturing Expenses 1,924 Purchases and Sales 71821 1,16,990Machinery Repairs 861 Carriage Inwards 491 Carriage Outwards 926 Advance payment of Income Tax 1429 Bank Loan (at 18%) 5000Interest on Loan 450 Debtors and Creditors 16440 9222Profit and Loss Account; 1st April, 2011 864Bank Current Account 10686 Cash in Hand 192 Leasehold Factory 16421 Plant and Machinery 12840 Loose Tools 1250 Share Capital 40000Calls in Arrear 100 Rates and Electricity 1761 Directors Fees and Remuneration 1200 Office Salaries 1300 Auditors’ Fees 125 Office Furniture 500 Commission 860 Returns 1264 981Preliminary Expenses 600 1,73,057 1,73,057You are required to prepare Statement of Profit and Loss for the year ending March 31, 2012 and Balance Sheet as at that date after taking into consideration the following adjustments:1. Write off one third of Preliminary Expenses.2. Depreciation is to be provided on:- Plant and Machinery @ 15%; and - Office Furniture @ 10%3. Manufacturing Wages Rs.189 thousand and Office Salaries Rs.120 thousand had accrued due.4. Provide for Interest on Bank Loan for 6 months.5. The Stock was valued of Rs.12484 thousand and Loose tools at Rs.1,000 thousand.6. Provide Rs.850 thousand on Debtors for Doubtful Debts.7. Provide further Rs.312 thousand for Discount on Debtors.8. Make a Provision for Income Tax @ 31%9. The directors recommend dividend at 15% for the year ending 31st March 2012 after transferring 5% of net profits to General Reserve. Make a provision for dividend distribution tax @ 17%