Calculate the total amount of 'Reserves and Surplus' to be shown in the Balance Sheet from the following items: General Reserve: Rs. 6,00,000; Securities Premium Reserve: Rs. 1,50,000; Statement of Profit & Loss (Debit balance): Rs. 4,00,000; Preliminary Expenses (unwritten): Rs. 1,20,000 (Assume preliminary expenses are written off completely from Securities Premium and the balance from P&L in the year incurred).
1
Rs. 2,30,000
2
Rs. 2,70,000
3
Rs. 3,50,000
4
Rs. 1,50,000