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प्रश्न
Following is the Trial Balance of Geeta Enterprises. You are required to prepare a Trading and Profit & Loss Account for the year ended 31st March 2019 and the Balance Sheet as of that date after taking into account the additional information provided to you.
Trial Balance as of 31st March, 2019
| Particulars | Debit Amount (₹) | Credit Amount (₹) |
| Capital A/c | 50,000 | |
| Drawings | 1,750 | |
| Opening Stock | 8,000 | |
| Purchases & Sales | 16,500 | 22,500 |
| Returns | 625 | 750 |
| Carriage Outward | 425 | |
| Wages - Productive | 1,000 | |
| Unproductive | 600 | |
| Salaries | 1,000 | |
| Travelling expenses | 1,125 | |
| Trade Expenses | 325 | |
| Fuel and Coal | 250 | |
| Discount | 460 | 550 |
| Sundry expenses | 225 | |
| Bad Debts | 200 | |
| Plant & Machinery | 20,000 | |
| Furniture | 5,500 | |
| Packing expenses | 175 | |
| Sundry Debtors & Creditors | 10,090 | 6,750 |
| Cash in hand | 2,200 | |
| Investments | 10,250 | |
| Reserve for Doubtful debts | 150 | |
| 80,700 | 80,700 |
Additional information:
1. Closing stock of goods on 31st March 2019 valued at ₹ 7,100 at cost price and ₹ 7,500/- as market price.
2. Travelling expenses include ₹ 125 spent on personal traveling.
3. ₹ 175 is to be written off as bad debts which were due from Mr. Ashok, a debtor, and 5% R.D.D. is to be maintained on debtors.
4. Reserve for discount on debtors as well as on creditors is to be maintained at 2% and 3% respectively.
5. Provide 10% depreciation on Plant & Machinery and Furniture.
उत्तर
| In the books of Geeta Enterprises | |||||
| Dr. | Trading & Profit & Loss Account for the year ended 31st March, 2019 | Cr. | |||
| Particulars | Amt. (₹) | Amt. (₹) | Particulars | Amt. (₹) | Amt. (₹) |
| To Opening stock | 8,000 | By Sales | 22,500 | ||
| To Purchase | 16,500 | Less: Sales Return | 625 | 21,875 | |
| Less: Purchase Return | 750 | 15,750 | By Closing Stock | 7,100 | |
| To Productive wages | 1,000 | ||||
| To Trade Expenses | 325 | ||||
| To Fuel and Coal | 250 | ||||
| To Gross Profit c/d | 3,650 | ||||
| 28,975 | 28,975 | ||||
| To Carriage Outward | 425 | By Gross Profit b/d | 3,650 | ||
| To Unproductive Wages | 600 | By Discount | 550 | ||
| To Salaries | 1,000 | By Provision for | |||
| To Travelling Expenses | 1,125 | Discount on Creditors | 203 | ||
| Less: Drawings | 125 | 1,000 | By Net Loss e/d | 2,942 | |
| To Discount | 460 | ||||
| To Sundry Expenses | 225 | ||||
| To Packing Expenses | 175 | ||||
| To Bad debts (T) | 200 | ||||
| Add: New B.D. (A) | 175 | ||||
| Add: New R.D.D. (A) | 496 | ||||
| 871 | |||||
| Less: Old R.D.D.(T) | 150 | 721 | |||
| To Deprecation on : | |||||
| Plant and Machinery | 2,000 | ||||
| Furniture | 550 | 2,550 | |||
| To Provision for Discount on Debtors | 189 | ||||
| 7,345 | 7,345 | ||||
| Balance Sheet as of 31st March 2019 | |||||
| Liabilities | Amt. (₹) | Amt. (₹) | Assets | Amt. (₹) | Amt. (₹) |
| Capital | 50,000 | Plant and Machinery | 20,000 | ||
| Less: Drawings | 1,750 | Less: Depreciation @ 10% | 2,000 | 18,000 | |
| 48,250 | Furniture | 5,500 | |||
| Less: Travelling Exp. | 125 | Less: Depreciation @ 10% | 550 | 4,950 | |
| 48,125 | Sundry Debtors (T) | 10,090 | |||
| Less: Net Loss | 2,942 | 45,183 | Less: New B.D.(A) | 175 | |
| Sundry Creditors | 6,750 | 9,915 | |||
| Less: Provision. for | Less: New R.D.D. (A) | 496 | |||
| Discount on Creditors @ 3% | 203 | 6,547 | 9,419 | ||
| Less: Provision for | |||||
| Discount on Debtors @ 2% | 189 | 9,230 | |||
| Cash in hand | 2,200 | ||||
| Investments | 10,250 | ||||
| Closing Stock | 7,100 | ||||
| 51,730 | 51,730 | ||||
APPEARS IN
संबंधित प्रश्न
What is bad debts?
Shri Yashraj and Company, Kolhapur, purchased furniture for Rs 60,000 on 1.4.2007.On 1.10.2009 the company sold out a part of the furniture for Rs 6,000, the original cost of which on 1.4.2007 was Rs 12,000.
The company charges depreciation at the rate of 10% p.a. on Reducing Balance method. The financial year of the company ends on 31st March, every year.
Prepare: Furniture Account and Depreciation Account for the years 2007-08, 2008-09, 2009-10.
Answer in one sentence only.
What do you mean by carriage inward?
Give the word / term or phrase which can substitute the following statement.
The credit balance of Trading Account.
Select the most appropriate alternative from those given below and rewrite the statement.
Wages paid for installation of machinery should be debited to _________________ account.
Select the most appropriate alternative from those given below and rewrite the statement.
A statement showing financial position of the business is called as _________________.
Select the most appropriate alternative from those given below and rewrite the statement.
To find out net profit or net loss of the business _________________ account is prepared.
Select the most appropriate alternative from those given below and rewrite the statement.
Trading account is prepared on the basis of __________________ expenses.
Select the most appropriate alternative from those given below and rewrite the statement.
Final accounts are prepared on the basis of _________________ and adjustments.
State whether the following statement is True or False.
The Balance Sheet is a nominal account.
State whether the following statement is True or False.
Trading account is a nominal account.
State whether the following statement is True or False.
Partners must share profits and losses equally.
State whether the following statement is True or False.
Trial Balance is the base of Final account.
State whether the following statement is True or False.
Return Inward is deducted from purchases.
Answer in One Sentence:
Why Balance Sheet is prepared?
Answer in One Sentence:
State the meaning of Accrued Income?
Closing stock is an item of ________.
Net profit of the business increases the ______.
Current assets does not include ______.
What are final accounts? What are its constituents?
Correct and Rewrite the following statement:
The balancing figure of the Trading Account is Net Profit or Net Loss.
Prepare Final accounts of Abdul Traders for the year ending 31st March 2019 with the help of the following Trial Balance and Adjustments.
Trial Balance as of 31st March 2019.
| Debit Balance | Amount (₹) | Credit Balance | Amount (₹) |
| Salaries | 10,000 | Interest Received | 2,400 |
| Purchases | 71,400 | Capital | 1,60,000 |
| Rent (11 months) | 2,200 | Sales | 85,000 |
| Machinery | 56,000 | Provision for Bad Debts | 2,000 |
| Advance against wages | 4,000 | Commissions Received | 1,600 |
| Opening stock | 20,000 | Bills Payable | 9,200 |
| Bad debts | 1,000 | Creditors | 56,000 |
| Prepaid Insurance | 2,400 | ||
| Wages | 2,600 | ||
| Loose Tools | 26,000 | ||
| Commission receivable | 400 | ||
| Sundry Debtors | 64,000 | ||
| Cash | 1,000 | ||
| Bank | 3,000 | ||
| Drawings | 7,600 | ||
| Freight Inward | 1,000 | ||
| Bills Receivable | 13,600 | ||
| Loan to Aruna | 30,000 | ||
| 3,16,200 | 3,16,200 |
Adjustments:
1. Closing stock valued at ₹ 89,600
2. Outstanding expenses Salaries ₹ 2,000, Wages ₹ 4,000
3. Charge depreciation on Machinery @ 10%
4. Bad debts are written off ₹ 2,000 and create a provision for bad and doubtful debts 5% on Sundry Debtors.
Following is the Trial Balance extracted from the books of Raju Traders. You are required to prepare Trading A/c, Profit and Loss A/c for the year ending on 31st March 2019 and Balance Sheet as on that date after considering the additional information given below.
Trial Balance as of 31st March 2019
| Debit Balance | Amount (₹) | Credit Balance | Amount (₹) |
| Raju's Drawings | 5,000 | Capital | 2,00,000 |
| Opening stock | 30,000 | Sales | 1,64,000 |
| Wages | 5,000 | Returns outward | 2,400 |
| Purchases | 60,000 | Creditors | 40,000 |
| Trade Expenses | 800 | Discount | 1,600 |
| Royalties | 1,600 | Bills payable | 13,600 |
| Salaries | 20,000 | ||
| Debtors | 80,000 | ||
| Plant & Machinery | 56,000 | ||
| Printing & Stationery | 2,400 | ||
| Bad debts | 900 | ||
| Discount | 1,200 | ||
| Furniture | 16,000 | ||
| Advertisement | 3,000 | ||
| Carriage outwards | 600 | ||
| Computers | 1,20,000 | ||
| Bills Receivable | 16,000 | ||
| Cash in hand | 1,100 | ||
| Cash at Bank | 2,000 | ||
| 4,21,600 | 4,21,600 |
Adjustments:
- Closing stock is valued at ₹ 40,000 at Cost Price and ₹ 44,000 as Market Price.
- Provide Depreciation on Plant and Machinery, Furniture, Computers @ 5%, 10%, 15%, respectively.
- Salaries are paid for 10 months only.
- Further Bad debts amounted to ₹ 400 and provide 10% R.D.D. on Sundry Debtors.
- Advertisement is paid for 2 years.
From the following Trial Balance of Pushkraj, you are required to prepare Trading Account and Profit and Loss Account for the year ended 31st March 2019 and Balance Sheet as of that date.
Trial Balance as of 31st March 2019
| Debit balances | Amount (₹) | Credit Balances | Amount (₹) |
| Drawings | 2,000 | Capital | 80,000 |
| Motor Car | 30,000 | Sundry Creditors | 25,000 |
| Cash in hand | 1,000 | Dividend | 4,800 |
| Bills Receivable | 20,000 | Commission | 2,535 |
| Wages | 1,000 | 8% Loan (taken on | 13,700 |
| Discount | 235 | 1.7.2018) | |
| Rent | 300 | Purchases Returns | 400 |
| Advertisement | 2,500 | Sales | 38,680 |
| Bad Debts | 500 | ||
| Travelling expenses | 1,000 | ||
| Purchases | 27,400 | ||
| Machinery | 30,000 | ||
| Office expenses | 500 | ||
| Sales Returns | 680 | ||
| Opening Stock | 10,000 | ||
| Sundry Debtors | 35,500 | ||
| Carriage Outward | 500 | ||
| Cash at Bank | 2,000 | ||
| 1,65,115 | 1,65,115 |
Adjustments:
1. Stock on 31st March 2019 was valued at ₹ 28,000
2. Create a Provision for doubtful debts on Sundry Debtors @ 5%
3. Depreciate Motor car by 5% p.a. and Machinery by 7% p.a.
4. Outstanding expenses Rent ₹ 800 & Wages ₹ 1,000
5. Charge interest on Capital @ 3% p.a.
6. Goods of ₹ 4,000 withdrawn by the proprietor for personal use.
