Question 22 Chapter 1 of +2 Part-1 - USHA Publication 12 Class Part - 1

Question 22 Chapter 1 of +2-Part-1

22. (Treatment of Expenses/B/S Treatment) During the year 31-3-2015, the expenses actually paid were Rs.13,440. Find out the actual expenses chargeable to Income and Expenditure account for the year ended 31-3-2015 if prepaid expenses and outstanding expenses are as follows:

Particulars	Rs.
Prepaid expenses on 1-4-14	1,050
Prepaid expenses on 31-3-15	1,365
Outstanding expenses on 1-4-14	630
Outstanding expenses on 31-3-15	1,806

Also show the extracts of Balance Sheet as on 31-3-14 and 31-3-15.

The solution of Question 22 Chapter 1 of +2 Part-1: -

Income and Expenditure Account for the year ending 31-3-2015

Expenditure		Amount	Income	Amount
To Expenses: Paid	13,440
Add: Prepaid on 1.4.2014	1,050
Outstanding on 31.3.15	1,806
	16,296
Less: Prepaid on 31.3.15	(1,365)
Outstanding on 1.4.14	(630)
Advance paid for stationary at the end of year	14,301	14,301

Balance Sheet As on 1-4-2014

Liabilities		Amount	Assets	Amount
Outstanding Expenses		630	Prepaid expenses	1,050

Balance Sheet As on 1-4-2015

Liabilities		Amount	Assets	Amount
Outstanding Expenses		1,806	Prepaid expenses	1,365

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Also, Check out the solved question of previous Chapters: -

Usha Publication - Accountancy PSEB (Class 12) - Volume I - Solution

• Chapter No. 1 - Accounting Not for Profit Organisations
• Chapter No. 2 - Partnership Accounts - I (Introduction)
• Chapter No. 3 - Partnership Accounts - II (Goodwill: Nature and Valuation)
• Chapter No. 4 - Partnership Accounts - III (Reconstitution of Partnership)
• Chapter No. 5 - Partnership Accounts - IV (Admission of A Partner)
• Chapter No. 6 - Partnership Accounts - V (Retirement and Death of A Partner)
• Chapter No. 7 - Partnership Accounts - VI (Dissolution of Partnership Firm)
• Chapter No. 8 - Company Accounts (Share Capital)
• Chapter No. 9 - Company Accounts (Issue of Debentures)
• Chapter No. 10 - Company Accounts (Redemption of Debentures)

Usha Publication - Accountancy PSEB (Class 12) - Volume II - Solution

• Chapter No. 1 - Financial Statements of a Company
• Chapter No. 2 - Financial Statement Analysis
• Chapter No. 3 –  Tools of Financial Statement Analysis- Comparative and Common Size
• Chapter No. 4 - Ratio Analysis
• Chapter No. 5 - Cash Flow Statement

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