Question No 13 Chapter No 19
Table of Contents
13.Following information is supplied to you by a shopkeeper:
| Particulars | 1st April, 2017 | 31st March, 2018 |
| Cash | 6,000 | 7,000 |
| Sundry Debtors | 68,000 | 64,000 |
| Stock | 59,000 | 87,000 |
| Furniture | 15,000 | 13,500 |
| Sundry Creditors | 20,000 | 18,000 |
| Bills Payable | 15,000 | 11,000 |
During the year, he withdrew 2,500 per month for domestic purposes. He also borrowed from a friend at 9% a sum of 20,000 on 1st October, 2017. He has not yet paid the interest. A provision of 5% on debtors for doubtful debts is to be made. Ascertain the profit or loss made by him during the period.
The solution of Question No 13 Chapter No 19:-
| Statement of Affairs as on March 31, 2017 |
|||||
| Liabilities |
Amount | Assets | Amount | ||
| Sundry Creditors | 20,000 | Cash | 6,000 | ||
| Bills Payable | 15,000 | Sundry Debtors | 68,000 | ||
| Stock | 59,000 | ||||
| Furniture | 15,000 | ||||
| Capital | 1,13,000 | ||||
| 1,48,000 | 1,48,000 | ||||
| Statement of Affairs as on March 31, 2018 |
|||||
| Liabilities |
Amount | Assets | Amount | ||
| Sundry Creditors | 18,000 | Cash | 7,000 | ||
| Bills Payable | 11,000 | Stock | 87,000 | ||
| 9% Loan from Friend | 20,000 | Furniture | 13,500 | ||
| Add: Interest Outstanding 20,000 ×9% X 6/12 | 900 | 20,900 | Sundry Debtors | 64,000 | |
| Less: 5% Provision for Doubtful Debts | 3, 200 | 60,800 | |||
| Capital | 1,18,400 | ||||
| 1,68,300 | 1,68,300 | ||||
| Statement of Profit or Loss for the year and March 31, 2018 |
||
| Particular |
Amount | |
| Capital as on March 31, 2017 | 1,18,400 | |
| Add: Drawings Rs2,500 ×12 | 30,000 | |
| 1,48,400 | ||
| Less: Capital as on April 01, 2016 | 1, 13, 000 | |
| Profit made during the year 2017-18 | 35,400 | |
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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
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