Question 41 Chapter 1 of +2-B - T.S. Grewal 12 Class

Question 41 Chapter 1 of +2-B

Table of Contents

The solution of Question 41 Chapter 1 of +2-B: –

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

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

Changes in Inventories of Finished Goods, Work-in-Progress and Stock-in-Trade

41.From the following information of Hospitality Ltd. For the year ended 31st March,2018, calculate amount that will be shown in the Note to Accounts on Changes in Inventories of finished Goods, WIP and Stock-in-Trade:

Particulars	Opening Inventory	Closing Inventor
Finished Goods	5,00,000	5,50,000
Work-in-Progress	4,50,000	4,25,000
Stock-in-Trade	6,50,000	6,00,000

The solution of Question 41 Chapter 1 of +2-B: –

Particulars	Details	Amount
1.Opening Inventory of Finished goods	5,00,000
Less: Closing Inventory of Finished Goods	5,50,000
Change In Inventory of Stock-in-Trade*		(50,000)
2.Opening Work-in-Progress	4,50,000
Less: Closing Work-in-Progress	4,25,000
Change In Inventory of Work-in-Progress**		25,000
3.Opening Stock-in-Trade	6,50,000
Less: Closing Stock-in-Trade	6,00,000
Change In Inventory of Stock-in-Trade***		50,000

*Change in finished goods=Opening Inventory of Finished Goods-Closing Inventory of Finished goods

**Change in Inventory of Work-in-Progress=Opening Inventory of Work-in-Progress-Closing Inventory of Work-in-Progress

***Change in Inventory of Stock-in-Trade=Opening Inventory of Stock-in-Trade-Closing Inventory of Stock-in-Trade

To understand more about Balance Sheet please check out following links: