Question no 21 Chapter No 16 - Unimax Class 11

Question No 21 Chapter No 16 – Unimax Class 11

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The solution of Question No 21 Chapter No 16 – UNIMAX Class 11

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

Usha Publication – Elements of Book-Keeping PSEB (Class 11) – Solution

Prepare Trading and Profit & Loss A/c for the year ending on 31st Dec. 2019 and a Balance Sheet a son that date from the following Trial Balance:

Debit balance	₹	Credit balance	₹
Drawing	1,700	Creditors	2,000
Plant & Machinery	12,000	Sales	4,200
Horse & Carts	2,600	Interest	1,350
Debtors	3,600	Commission	1,600
Purchases	2,000	Capital	20,000
Wages	800
Cash at bank	2,600
Salary	800
Repairs	190
Opening stock	1,600
Rent	450
Misc. expenses	150
Bad debts	500
Carriage inwards	160

Adjustments:
(1) Closing stock ₹ 1,600
(2) Depreciation plant & Machinery by 10% and Horse & Carts by 15%
(3) Allowed interest on capital at 5% per annum
(4) 150 are due for wages
(5) Prepaid rent ₹ 150
(6) Accrued interest ₹ 150
(7) Commission received In advance ₹ 200
(8) Interest on drawings ₹ 100
(9) Further bad debts ₹ 200.

The solution of Question No 21 Chapter No 16 – UNIMAX Class 11

Trading and Profit & Loss A/c For the year ended 31st Dec., 2019
Particulars		Amount	Particulars		Amount
To Opening stock		1,600	By sales		4,200
To purchases		2,000	By closing stock		1,600
To Wages	800
Add: Outstanding wages	150	950
To Carriage Inwards		160
To Gross Profit (transferred to P & L A/c)		1,090
		5,800			5,800
To Salary		800	By Gross Profit b/d		1,090
To Repairs		190	By interest	1,350
To Rent	450		Add: Accrued interest	150	1,500
Less: Prepaid rent	150	300	By Commission	1,600
To Misc. Expenses		150	Less: Pre received commission	200	1,400
To bad debts	500		By Interest on Drawings		100
Add: Further bad debts	200	700	By Net Loss (transferred to capital A/c)		640
To Depreciation on Plant & Machinery		1,200
To Depreciation on Plant & machinery
To Depreciation on Horse & Carts		390
To Interest on Capital		1,000
		4,730			4,730

Balance Sheet As on 31st Dec, 2019
Liabilities		Amount	Assets		Amount
Creditors		2,000	Plant & Machinery	12,000
Capital	20,000		Less: Depreciation	1,200	10,800
Add: Interest on capital	1,000		Horse & Carts	2,600
Less: Drawings	1,700		Less: Depreciation	390	2,210
Less: Interest on drawings	100		Debtors	3,600
Less: Net loss	640	18,560	Less: Further bad debts	200	3,400
Outstanding wages		150	Cash at bank		2,600
Advance commission		200	Closing stock		1,600
			Prepaid Rent		150
			Accrued interest		150
		20,910			20,910