Given below is the Balance Sheet of Sky and Associates as on 31st March, 2023: Liabilities ₹ Assets ₹ Capital 1,60,000 Machinery 1,80,000 Profit…

Given below is the Balance Sheet of Sky and Associates as on 31st March, 2023: Liabilities ₹ Assets ₹ Capital 1,60,000 Machinery 1,80,000 Profit & Loss Account 93,000 Stock 1,15,000 8% Loan 40,000 Trade Receivables 75,000 Trade Payables 66,000 Deferred Expenditure 9,000 Bank Overdraft 20,000 3,79,000 3,79,000 Additional information: (1) The firm is planning to shut down its business with immediate effect from 1st April, 2024. (2) The sale and purchase of the firm for the year 2023-24 amounts to 8,20,000 and - 6,50,000 respectively. (3) The value of Closing Stock as on 31-3-2024 was - 65,000. The net realizable value is estimated at 120% of cost. (4) Other expenses for the period amount to 25,000. (5) Deferred expenditure is getting amortized over 5 years starting form 31-3-2022. (6) The remaining life of Machinery is expected to be 3 years. The realizable value of Machine is expected at 1,65,000, an expense of 5,000 is to be incurred to realize the same. (7) Out of trade receivables, 5,000 is expected to be unrealizable due to an ongoing dispute. (8) Bank has charged a penalty of 2,500 for crossing the overdraft limit. (9) The lender has agreed to forgo 50% of interest charge for the year. (10) The firm is expecting a discount of 4,000 from creditors at the time of full and final settlement. You are required to prepare a Profit & Loss A/c for the year ended 31st March, 2024 to ascertain its Profit/Loss for the period.