48. The trial BALANCE of a business as on 31st DECEMBER, 2016 is given below:337IWB HS)annum.2500333Cr.+Dr.₹30,000 Reserve5,000 Sundry creditors6,900 Sales6,700Capital20,300 Purchases returns86,600 Discount received16,800 Bills payable10,000 Commission25,00040070056029,340670400630Freehold premisesSalariesCash at bankWagesStock (opening)PurchasesBills receivableFurniturePlantDiscountSales returnsCarriage outwardSundry debtors -FreightCash in handCarriage inward16,00020,5001,40,00030,0001,0004,0007,50021,0005,305-8, @ 20%2,40,0002,40,000% on DEBT[WBcount forPrepare : (a) a Trading Account; (b) a Profit and Loss Account for the year ended 31st December, 2016;and (c) a Balance Sheet as on that date after taking into account the following adjustments :(1) Closing stock 30,000; (II) Outstanding liabilities for : Salaries * 1,500, WAGES * 1,000; (iii) Depreciateplant @ 20% per annum and furniture @ 10% per annum; (iv) Sundry debtors include * 1,340 as bad ;(u) Create a provision for bad debt @ 5% on the balance amount of sundry debtors.