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Question
From the following information of Hospitality Ltd. for the year ended 31st March, 2018, calculate amount that will be shown in the Note to Accounts on Changes in inventiories of Finished Goods, WIP and stock-in-Trade:
| Particluars |
Opening Inventory (₹) |
Closing inventory(₹) |
||
| Finished Goods |
5,00,000 |
5,50,000 |
||
| Work-in-Progress |
4,50,000 |
4,25,000 |
||
| Stock-in-Trade | 6,50,000 | 6,00,000 | ||
Solution
NOTES TO ACCOUNTS
|
Note No. |
Particulars |
Amount (Rs) |
|
| Change in Inventories of Finished Goods, WIP and Stock-in-Trade | |||
|
(a) |
Finished Goods |
||
|
Opening Inventory |
5,00,000 |
(50,000) |
|
|
Less: Closing Inventory |
5,50,000 |
||
|
(50,000) |
|||
|
(b) |
Work-in-Progress |
||
|
Opening Inventory |
4,50,000 |
25,000 |
|
|
Less: Closing Inventory |
4,25,000 |
||
|
25,000 |
|||
|
(c) |
Stock-in-Trade |
||
|
Opening Inventory |
6,50,000 |
50,000 |
|
|
Less: Closing Inventory |
6,00,000 |
||
|
50,000 |
|||
| Net Change (a+b+c) | 25,000 | ||
Rs 25,000 will be shown in the Statement of Profit and Loss against the Change in Inventories of Finished Goods, Work-in-Progress and Stock-in-Trade.
APPEARS IN
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| installments beginning 1st July, 2019 | 10,00,000 |
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| ₹ | ₹ | |||
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| 12% Preference Share Capital | 10,00,000 | Stock | 6,00,000 | |
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