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Question 14 Chapter No 16 – Class 11 Unimax
| Extracts of Trial Balance as at 31.3.2020 | ||
| Particulars | Debit | Credit |
|---|---|---|
| Investment 12% p.a. | 20,00,000 | |
| Interest on investment | 20,00,000 | |
Adjustment : investments were made on 1.4.2019.
Give the necessary journal entry and show how it will appear in final accounts.
Journal
| Date | Particulars |
L.F. | Debit | Credit | ||
|---|---|---|---|---|---|---|
| 31.3.2020 | Accrued interest A/c | Dr. | 40,000 | |||
| To Interest on Investment A/c | 40,000 | |||||
| (Being interest due to investment) | ||||||
| Profit & Loss A/c for the year ended 31st March,2020 |
|||||
| Particulars | Amount | Particulars |
Amount | ||
|---|---|---|---|---|---|
| To Interest on investment | 2,00,000 | ||||
| Add: Accrued interest | 40,000 | 2,40,000 | |||
| Balance Sheet As at 31st March, 2020 |
||||
| Liabilities | Amount | Assets | Amount | |
|---|---|---|---|---|
| Investment @ 12% p.a. | 20,00,000 | |||
| Interest accrued on investments | 40,000 | |||
Accounting & Commerce Educator
Sarbjit Singh holds a B.Com and M.Com degree and has over 12 years of teaching experience in double entry bookkeeping, financial accounting, and business studies.
This guide covers "Question 14 Chapter No 16 – Class 11 Unimax", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to Chapter 16 - Financial Statements (With Adjustments) - Unimax.
It is primarily curated for Class 11 and Class 12 high school commerce, accounting, and economics students, as well as aspirants preparing for board exams or CA Foundation.
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