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

Question 22 Chapter 1 of +2- Part-1
Q-22 - CH-1 - Usha +2 Book 2018 - Solution

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Question 22 Chapter 1 of +2-Part-1

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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 1-4-141,050
Prepaid expenses on 31-3-151,365
Outstanding expenses on 1-4-14630
Outstanding expenses on 31-3-151,806

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
AmountIncome Amount
To Expenses: Paid13,440   
Add: Prepaid on 1.4.20141,050   
Outstanding on 31.3.151,806   
 16,296   
Less: Prepaid on 31.3.15(1,365)   
 Outstanding on 1.4.14 (630)   
Advance paid for stationary at the end of year14,30114,301  
Balance Sheet As on 1-4-2014
Liabilities
AmountAssetsAmount
     
Outstanding Expenses 630Prepaid expenses1,050
     
     
Balance Sheet As on 1-4-2015
Liabilities
AmountAssetsAmount
     
Outstanding Expenses 1,806Prepaid expenses1,365
     
     

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

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

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

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication

+2 Book 1-min
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms

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