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A start$-$up company, Pace Inc., received funding from two sharks$*$ jointly in the Shark Tank. A new accountant at the company has prepared a Trial Balance using the information for the last two years.

$*$The Shark Tank is a reality television show that involves aspiring entrepreneurs, inventors, and small business owners, who pitch their business ideas or products to a panel of wealthy investors, known as the "sharks," in the hope of securing investment deals.

$$ Trial balance for the year ended Mar $31,2022$

Account Title

Head of Account

Debit Amount $($$$)$

Credit Amount $($$$)$

Share Capital

Owner$`$s equity

$500,000$

Bank Loan

Non$-$Current liability

$100,000$

Share capital $$ Peyush Bansal

Non$-$Current liability

$100,000$

Trade payable

Current liability

$50,000$

Outstanding Rent

Current liability

$5,000$

Other current liabilities

Current liability

$80,000$

Equipment

Non$-$current tangible asset

$200,000$

Furniture

Non$-$current tangible asset

$400,000$

Patents

Non$-$current intangible asset

$100,000$

Trade receivables

Current asset

$80,000$

Cash balance

Current asset

$105,000$

Bank balance

Current asset

$200,000$

Revenue

Indirect Income

$360,000$

Purchases

Direct Expense

$100,000$

Salaries

Indirect Expense

$20,000$

Rent of building

Indirect Expense

$10,000$

Accumulated Depreciation on tangible assets

Current liabilities

$50,000$

Dividend expense during the year

Indirect Expense

$30,000$

$1,245,000$

$1,245,000$

Note:

a$)$ There is no opening stock for the company

b$)$ Closing Stock as on $31\mathrm{.}03\mathrm{.}2022$ is $50,000$

c$)$ Dep for the year is:

Equipment$-10\%$ on cost

Furniture$-7\mathrm{.}5\%$ on cost

d$)$ Patents are not to be amortised

e$)$ During the year, new equipment was purchased for $100,000($Dep to be given for the full year$)$

f$)$ At the start of the year, Furniture costing $50,000($Carrying value $40,000)$ was sold at a loss of $35,000($No Dep for current year to be given$)$

You are provided with the following financial statements:

Income Statement$$

Balance Sheet $$

Cash flow Statement$$

Complete the financial statements by computing and filling in the missing numbers.

Using the information in the Trial Balance and note, complete the financial statements by computing and filling in the missing numbers.

Statement of Income for the year ended $31$ Mar $2022$

Particulars

Amount $($in $$)$

Amount $($in $$)$

Revenue

$360,000$

Less: Cost of goods sold

Purchases

$------------$

Less: Closing Stock

$(50,000)$

$50,000$

Gross profit for the year

$------------$

Less: Indirect expenses

Salaries

$20,000$

Rent of building

$----------$

Loss on sale of furniture

$----------$

Depreciation on tangible asset

$----------$

Dividend expense during the year

$30,000$

$125,000$

Net profit for the year

$-----------$

Balance Sheet as on $31$ March $2022$

Particulars

Amount $($$$)$

Amount $($$$)$

Non$-$current assets

a$)$Fixed assets

i$)$Tangible assets

Equipment

$----------$

Furniture

$300,000$

$550,000$

i$)$Intangible assets

Patents

$----------$

$100,000$

Current assets

Inventories

$50,000$

Trade receivables

$----------$

Cash balance $(5000+100000+35000-1,00,000)$

$40,000$

Bank balance

$------------$

$370,000$

$----------$

Equity and liabilities

Shareholder$$s Funds

a$)$Share Capital

Own capital

$500,000$

Peyush Bansal

$-----------$

a$)$Reserves and Surplus

Balance is Statement of Profit and Loss

$-------------$

$785,000$

Non$-$current liabilities

a$)$Bank Loan

$-------------$

Current liabilities

a$)$Trade payables

$-------------$

a$)$Outstanding rent

$-------------$

a$)$Other current liabilities

$-------------$

$235,000$

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