Question No 12 Chapter No 18 – T.S. Grewal 11 Class

Question No 12 Chapter No 18

Question No 12 Chapter No 18

12. From the following, prepare Profit and Loss Account of Sohan Lal as it would appear in the 1st year that ended 31st March, 2019:

       
Salaries and Wages 30,000 Advertising 10,000
Commission Paid 2,000 Discount Allowed 18,000
Postage and Courier 1,500 Rent Received 17,000
Insurance 3,000 Interest on Investment 15,000
Interest Paid 4,000 Bad Debts 9,000
Carriage Outwards 5,000 Brokerage Paid 950

The Gross Profit was 45% of sales, which amounted to 6,50,000. Also, pass the Journal entries.

 

The solution of Question No 12 Chapter No 18:-

 

Profit and Loss Account
for the year ended March 31, 2018
Particulars
Amount Particulars
Amount
To Salaries and Wages   30,000 By Gross Profit (6, 50, 000 ×45)   2,92,500
To Commission Paid   2,000 By Rent Received   17,000
To Postage and Telegram   1,500 By Interest on Investments   15,000
To Insurance   3,000      
To Interest Paid   4,000      
To Carriage Outwards   5,000      
To Advertising   10,000      
To Discount Allowed   18,000      
To Bad Debts   9,000      
To Brokerage Paid   950      
To Net Profit   2,41,050      
    3,24,500     3,34,500



Final Accounts: Definition and Explanation

Profit and Loss Account: Meaning, Format & Examples

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

    • Chapter No. 1 – Introduction to Accounting
    • Chapter No. 2 – Basic Accounting Terms
    • Chapter No. 3 – Theory Base of Accounting, Accounting Standards and International Financial Reporting Standards(IFRS)
    • Chapter No. 4 – Bases of Accounting
    • Chapter No. 5 – Accounting Equation
    • Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
    • Goods and Services Tax(GST)
    • Chapter No. 7 – Origin of Transactions – Source Documents and Preparation of Vouchers
    • Chapter No. 8 – Journal
    • Chapter No. 9 – Ledger
    • Chapter No. 10 – Special Purpose Books I – Cash Book
    • Chapter No. 11 – Special Purpose Books II – Other Books
    • Chapter No. 12 – Bank Reconciliation Statement
    • Chapter No. 13 – Trial Balance
    • Chapter No. 14 – Depreciation
    • Chapter No. 15 – Provisions and Reserves
    • Chapter No. 16 – Accounting for Bills of Exchange
    • Chapter No. 17 – Rectification of Errors
    • Chapter No. 18 – Financial Statements of Sole Proprietorship
    • Chapter No. 19 – Adjustments in preparation of Financial Statements
    • Chapter No. 20 – Accounts from incomplete Records – Single Entry System
    • Chapter No. 21 – Computers in Accounting
    • Chapter No. 22 – Accounting Software – Tally
    • Chapter No. 5 – Accounting Equation
    • Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
    • Goods and Services Tax(GST)
    • Chapter No. 8 – Journal
    • Chapter No. 9 – Ledger
    • Chapter No. 10 – Special Purpose Books I – Cash Book

Check out T.S. Grewal +1 Book 2019 @ Official Website of Sultan Chand Publication

T.S. Grewals Double Entry Book Keeping - Question No 12 Chapter No 18 - T.S. Grewal 11 Class

T.S. Grewal’s Double Entry Book Keeping

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