Question No 19 Chapter No 17

Question No 19 Chapter No 17

Trading and Profit & Loss Account and Balance Sheet

19. Form the following balance taken from the book of Bhutto, prepare Trading and Profit & Loss Account for the year ending 31st March 2019 and a balance sheet at that date
Stock in hand on 31st March 23019 was Rs 20,000

Ledger AccountRsLedger AccountRs
Purchases20,250Drawings5,000
Bank overdraft7,000Interest (Cr.)900
Bank Charges50Loose tools2,200
Freehold Premises10,000Cash in hand 2,300
Annuity deposits3,000Carriage600
Furniture4,000Investments5,000
Legal charges200Goodwill10,000
General expenses2,900Productive expenses2,000
Telephone600Plant15,000
Wages6,900Rent & Taxes3,500
Factory fuel2,300Office expenses2,500
Creditor25,000Stock(1-4-2018)9,700
Capital50000Debtors25,000
Sales40,920Bills payable18,000
Bill receivable5,320Loans to staff2,000

 

The Content covered in this article:

The solution of Question No 19 Chapter No 17:-

 

Trading A/c
Particular
AmountParticular
Amount
To Opening Stock A/c 9,700By Sale A/c 40,920
To Purchases A/c 20,250   
To Wages A/c 6,900By Closing Stock 20,000
To Factory Fuel A/c 2,300   
To Carriage A/c 600   
To Productive Expenses A/c 2,000   
To Gross Profit A/c 19,170   
  60,920  60,920

 

Profit/Loss A/c
Particular
AmountParticular
Amount
To Bank Charges A/c 50By Gross Profit A/c 19,170
To Legal Charges A/c 200By Interest A/c 900
To Insurance A/c 600   
To General Expenses A/c 2,900   
To Telephone Charges A/c 600   
To Rent and Taxes A/c 3,500   
To Office expenses A/c 2,500   
To Net profit A/c 9,720   
  20,070  20,070

 

Balance Sheet
Labilities
AmountAssets
Amount
Capital A/c50,000 Cash in hand 2,300
Add: Net Profit9,720 Annuity Deposits 3,000
Less: Drawing5,000 Bill receivable 5,320
Less: Insurance premium90053,820Investments 5,000
Bank Overdraft 7,000S. Debtors 25,000
S. creditor 25,000Closing Stock 20,000
Bill Payable 18,000Loan to Staff 2,000
   Freehold Premises 10,000
   Furniture 4,000
   Loose tolls 2,200
   Plant 15,000
   Goodwill 10,000
  1,03,820  1,03,820

 

 

Final Accounts: Definition and Explanation

 

Profit and Loss Account: Meaning, Format & Examples

 

Balance Sheet: Meaning, Format & Examples

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

 

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)

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