One of your clients Mr. Hari Om asked you to finalize his account for the year ended 31st March, 2025. As a basis for the audit, Mr. Hariom…

Corrected Trial Balance of Mr. Hari Om as on 31st March, 2025 Particulars Dr. Amount ₹ Cr. Amount ₹ Hari Om’s Capital 23,340 Hari Om’s Drawings 8,460 Leasehold premises 11,250 Sales 41,250 Due from customers 7,950 Purchases 18,885 Purchases returns 3,960 Loan from Bank 3,840 Trade expenses 10,500 Trade Payable 7,920 Bills payable 1,500 Salaries and Wages 9,000 Cash at Bank 3,390 Inventory (1.4.2024) 3,960 Rent and rates 6,945 Sales return 1,470 81,810 81,810 Reasons: 1. Due from customers is an asset, so its balance will be a debit balance. 2. Purchases return account always shows a credit balance because assets goes out. 3. Trade Payable is a liability, so its balance will be a credit balance. 4. Bills payable is a liability, so its balance will be a credit balance. 5. Inventory (opening) represents assets, so it will have a debit balance. 6. Sales return account always shows a debit balance because assets come in.