Q.No.29 | Chapter 1 – Financial Statements of Not-for-Profit Organisations | T.S. Grewal 12 Class Book Keeping Part - A - Vol. 1

Question 29 Chapter 1 of +2-A

29. How are the following dealt with while preparing the final accounts for the year ended 31st March 2019?

RECEIPTS AND PAYMENT ACCOUNT(AN EXTRACT) FOR THE YEAR ENDED 31ST MARCH, 2019

Receipts	Amount	Payments	Amount
To Sale of Sports Materials (Book value Rs 20,000)	26,000	By Creditors for Sports Materials	1,50,000
		By Cash Purchase of Sports Materials	1,50,000

 

Additional Information:
	1st April 2018 (Rs.)	31st March 2019 (Rs.)
The stock of Sports Materials	20,000	25,000
Creditors for Sports Materials	7,000	15,000

The solution of Question 29 Chapter 1 of +2-A: -

Income and Expenditure Account

Particular	Amount	Particular	Amount
To Sports Materials Expenses (check statement attached)	54,000	To Gain on sale of Sports Materials (Sale price – Book Value) (26,000 – 20,000 )	6,000

 

BALANCE SHEET (AN EXTRACT) as on 31st March 2019

Particular	Amount	Particular	Amount
Creditors for Sports Materials	15,000	Stock of Sports Materials	25,000

 

Creditors for Sports Material

Particular	Amount	Particular	Amount
To Bank a/c	61,000	By Balance b/d	7,000
To Balance c/d	15,000	By Purchased a/c (B. Fig.)	69,000
	76,000		76,000

 

Statement Showing stationery used during the year

Particular	Details	Amount
Amount paid for Medicines during the year ended 31st March 2019		61,000
Add: - Opening Stock of Sports Material	20,000
Closing Creditors for Sports Material	15,000
Cash Purchase of Sports Material	10,000	45,000
		1,06,000
Less: - Closing Sports Material	25,000
Opening Creditors for Sports Material	7,000
Book Value of sale of Sports Material	20,000
		52,000
The amount for Medicine debited to the Income and Expenditure A/c		54,000

 

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

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 - Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 - Accounting for Partnership Firms - Fundamentals
• Chapter No. 3 - Goodwill: Nature and Valuation
• Chapter No. 4 - Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 - Admission of a Partner
• Chapter No. 6 - Retirement/Death of a Partner
• Chapter No. 7 - Dissolution of a Partnership Firm

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 8 - Company Accounts -  Accounting for Share Capital
• Chapter No. 9 - Company Accounts - Issue of Debentures
• Chapter No. 10 - Redemption of Debentures

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

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

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