Question 39 Chapter No 16 – Class 11 Unimax

Question 39 Chapter No 16 – Class 11 Unimax

The following are the balance extracted on 31st Dec. 2019 from the books of A:

Balance	₹	Balance	₹
Capital A/c	38,000	Sales returns	2,000
Drawings A/c	3,000	Discount (Cr)	2,000
Furniture and Fitting	2,600	General expenses	6,000
Bank overdraft	4,000	Salaries	9,000
Creditors	11,200	Commission (Dr.)	2,200
Business premises	20,000	Carriage on purchases	1,800
Stock 1.1.2019	32,000	Reserve for bad and doubtful debts	2,000
Debtors	18,000
Rent from Tenets	1,000
Purchases	1,10,000
Sales	1,050,000
Discount (Dr. )	1,600

Stock in hand on 31st Dec. 2019 was estimated at ₹ 20,000. Provide a further reserve of ₹ 500 for bad and doubtful debts. Write off depreciation business premises ₹ 300 and furniture and fittings ₹ 260. Prepare Trading and Profit & Loss A/c for the ending 31st Dec. 2019 and Balance sheet of the partnership as on 31st Dec.2019.

The solution of Question 39 Chapter No 16 – Class 11 Unimax

Trading and Profit & Loss A/c
Particulars		Amount	Particulars		Amount
To Opening stock		32,000	By sales	1,50,000
To purchases		1,10,000	Less: Returns	2,000	1,48,000
To Carriage on Purchases		1,800	By Closing stock		20,000
To Gross Profit		24,000
(transferred to P & L A/c)
		1,68,000			1,68,000
To General expenses		6,000	By Gross Profit b/d		24,000
To Salaries		9,000	By Rent form from Tenants		1,000
To Commission		2,200	By Discount		2,000
To Discount		1,600
To Dep. On business premises		300
Furniture and Fittings		260
To New reserve for bad and doubtful debts	2,500
Less: Old Provision	2,000	500
To Net Profit (transferred to Capital A/c)		7,340
		27,200			27,200

Balance Sheet of a
As on 31st March,2020

Liabilities		Amount	Assets		Amount
Bank overdraft		4,000	Debtors	18,000
Creditors		11,200	Less: New Provision for bad debts	2,500	15,500
Capital	38,000		Furniture and Fittings	2,600
Less: Drawings	3,000		Less: Depreciation	260	2,340
Add: Net Profit	7,340		Closing stock		20,000
			Business premises	20,000
			Less: depreciation	300	19,700
		57,540			57,540