Question

The following balance sheet has been prepared from the books of pearl on 1-4-2018,

Liabilities	₹	Assets	₹
Capital	1,60,000	Buildings	40,000
Sundry creditors:		Furniture	20,000
Maya A/c	20,000	Stock	10,000
		Sundry debtors
		Peter	20,000
		Cash in hand	30,000
		Cash at bank	60,000
	1,80,000		1,80,000

During the year the following transactions took place.

1. Wages paid by cash ₹ 4,000
2. Salaries paid by cheque ₹ 10,000
3. Cash purchases made for ₹ 4,000
4. Good purchased on credit from Yazhini ₹ 30,000
5. Goods sold on credit to Jothi ₹ 40,000
6. Payment made to Yazhini through NEFT ₹ 6,000
7. Cash received from Peter ₹ 10,000
8. Cash sales made for ₹ 4,000
9. Depreciate buildings at 20%
10. Closing stock on 31.03.2013 ₹ 9,000

You are required to prepare trading and profit and loss account for the year ended 31-03-2019 and balance sheet as on that using Tally.

Answer 1

• To Create Company Company Info > Create Company
  Type the Name as Pearl and keep all other fields as they are and choose.
  “Yes” to accept
• To maintain accounts only
  Gateway of Tally F11 Accounting Features > General > Maintain Accounts only: Yes > Accept: Yes
• To Create Ledger Accounts with Opening Balances
  Gateway of Tally > Masters > Accounts Info > Ledgers > Single Ledger > Create

Creation of	Name	Under	Opening balance	Accept
Pearl's capital A/c	Pearl's capital A/c	Capital A/c	1,60,000	Yes
Maya's A/c (Sundry Creditors)	Maya's A/c	Sundry Creditors A/c	20,000	Yes
Building A/c	Building A/c	Fixed Assets A/c	40,000	Yes
Furniture A/c	Furniture A/c	Fixed Assets A/c	20,000	Yes
Opening stock A/c	opening stock	Stock A/c	10,000	Yes
Peter (Sundry Debtors)	Peter A/c	Sundry Debtors A/c	20,000	Yes
Cash in hand	Cash in hand	Cash	30,000	Yes
Cash in bank	cash at bank	Bank A/c	60,000	Yes

 To record the opening balances of cash
Gateway of Tally > Masters > Accounts Info > Ledger > Single Ledger > Alter
After creating the Ledgers and recording the opening balances of ledger accounts the balance
sheet of Pearl is shown as in the following table.

To Create Ledger Accounts for Transactions

Creation of	Name	Under	Accept
Wage A/c	Wages A/c	Direct Expenses	Yes
Salaries A/c	Salaries A/c	Indirect Expenses	Yes
Purchases A/c	Purchases A/c	Purchases A/c	Yes
Yazhini's A/c (Sundry Creditors)	Yazhini's A/c	Sundry Creditors A/c	Yes
Jothis's A/c	Jothi's A/c	Sundry Debtors A/c	Yes
Sales A/c	Sales A/c	Sales A/c	Yes
Depreciations A/c	Depreciation A/c	Indirect Expenses	Yes

To enter transaction through vouchers

Gateway of Tally > Transactions > Accounting Vouchers.
Example: Wages of Rs. 4,000 paid by cash
F5: Payment Voucher
Account: Cash
Particulars: Wages A/c
Amount: Rs. 4,000
Narration: Wages paid by Cash
Accept: Yes

In a similar way, recorded the other transactions. Use payment voucher for salaries paid and payments to yazhini.
Use purchase voucher for credit sales to Jothi and Cash sales. Use Receipt voucher for cash received from Peter.
Use Journal voucher for depreciation.

To record closing stock:

Since maintain accounts only is set to ‘Yes’ and integrate accounts and inventory is set to ‘No’ under accounting features. Stock has to be recorded manually. Hence the closing stock has to be recorded by altering the stock account and while entering the date of closing stock, the date of opening stock has to be entered. The following procedure is to be followed: Gateway of Tally > Masters > Accounts Info > Ledger > Single Ledger > Alter > Stock > Closing Balance > Date (Opening date) > Amount > Accept: Yes

To view reports

1. To view Profit and Loss Account
   F10: A/c Reports > Profit and Loss A/c > Alt F1 (detailed)
   (or) Gateway of Tally > Reports > Profit and Loss A/c > Alt FI (detailed)
2. To view Balance Sheet
   F10: A/c Reports > Balance Sheet > Alt FI (detailed) (or)
   Gateway of Tally > Reports > Balance Sheet > Alt FI (detailed).