Question No 09 Chapter No 18 - USHA Publication 11 Class

Question No 09 Chapter No 18

Expenses & Income Expenses

09. Prepare a Trading Account and Profit & Loss Account and a balance Sheet from the following information :

(Dr. Balance)	Amount	(Cr. Balance)	Amount
Stock on 1-4-2017	42,000	Sales	9,170
Purchases	68.25	Loans	60,000
Carriage	600	Discount	850
Wages	12,000	Commission	680
Power	1,800	Sundry Creditor	6,000
Furniture & fixtures	4,000	Capital	30,000
Investments	6,000	Provision for Depreciation	250
Freehold premises	15,000
Travelling expenses	900
Debtors	1,000
Interest	400
Bill receivable	1,800
Tools	7,000
Plant & Machinery	30,000
Bad debts	200
Drawings	3,000

The following adjustments are to be made:-

1. Stock on hand on 31-3-2018 was Rs 7,860
2. Depreciate on plant & machinery @10%
3. Wages Rs 700 are outstanding
4. Commission receivable was Rs 100

 

The solution of Question No 09 Chapter No 18:-

Trading Account

Particular		Amount	Particular		Amount
To Opening Stock A/c		42,000	By Sale A/c		96,170
To Purchases A/c		68,250
To Wages A/c	12,000		By Closing Stock		7,860
Add: outstanding wages	700	12,700
To Carriage A/c		600
To Power A/c		1,800
			By Gross Loss A/c		21,320
		1,25,350			1,25,350

 

Profit/Loss Account

Particular		Amount	Particular		Amount
To Gross Loss A/c		21,320	By Discount A/c		850
To Travelling Expenses A/c		900	By Commission A/c	680
To Interest A/c		400	Add: accrued commission	100	780
To Dep. On Plant & machinery A/c		3,000	By Provision for Bad debts	250
			Less: Bad debts	200	50
			By Net Loss A/c		23,940
		25,620			25,620

 

Balance Sheet

Labilities		Amount	Assets		Amount
Capital A/c	30,000		Plant & machinery	30,000
Less: Net Loss	23,940		Less: Depreciation	3,000	27,000
Less: Drawing	3,000	3,060	Investment		6,000
Loan		60,000	Debtors		1,000
Creditor		6,000	Bills receivable		1,800
Outstanding wages		700	Closing Stock		7,860
			Furniture & Fitting		4,000
			Freehold premises		15,000
			Tools		7,000
		69,760			69,760

 

Note: To calculate the  correct answer as per book we have to assumed Provision for Depreciation as provision for doubtful debts

 

https://tutorstips.com/final-accounts/

 

https://tutorstips.com/profit-and-loss-account/

 

https://tutorstips.com/balance-sheet/

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Usha Publication - Elements of Book-Keeping PSEB (Class 11) - Solution

Chapter No. 1 - Introduction

Chapter No. 2 - Theory Base of Accounting 

Chapter No. 3 - Origin of Transactions

Chapter No. 4 - Vouchers and transactions

Chapter No. 5 - Journal

Chapter No. 6 - Accounting for Goods and Services Tax(GST)

Chapter No. 7 - Ledger

Chapter No. 8 - Cash Book

Chapter No. 9 - Other Subsidiary Books

Chapter No. 10 - Journal Proper

Chapter No. 11 - Trial Balance

Chapter No. 12 - Bank Reconciliation Statement

Chapter No. 13 - Depreciation

Chapter No. 14 - Provisions and Reserves 

Chapter No. 15 - Bills of Exchange

Chapter No. 16 - Rectification of Errors 

Chapter No. 17 - Financial Statements - (Without Adjustments)

Chapter No. 18 - Financial Statements - (With Adjustments)