Question No 27 Chapter No 18 – T.S. Grewal 11 Class

Question No 27 Chapter No 18

Question No 27 Chapter No 18

27. Following Trial Balance is extracted from the books of a merchant on 31st March, 2018:

Debit Balances:   Debit Balances  
Furniture and Fittings 6,400 Insurance 12,500
Motor Vehicles 62,500 General Charges 7,820
Building 75,900 Salaries 33,000
Bad Debts 1,250 Credit Balances:  
Sundry Debtors 38,000 Capital 1,28,900
Stock on 1st April, 2017 34,600 Bills Payable 2,000
Purchases 55,750 Sundry Creditors 25,000
Sales Return 2,000 Sales 1,54,500
Advertising 4,500 Bank Overdraft 28,500
Interest 1,180 Purchases Return 1,250
Cash in Hand 6,500 Commission 1,750

Stock in Hand on 31st March, 2018 was valued at 32,500.
From the above, prepare Trading and Profit and Loss Account for the year ended 31st March, 2018 and Balance Sheet as at that date

The solution of Question No 27 Chapter No 18:-

 

Trading Account
Particular
Amount Particular
Amount
To Opening Stock   34,600 By Sales 1,54,500  
To Purchases 55,750   Less: Sales Return 2, 000 1,52,500
Less: Purchases Return 1, 250 54,500 By Closing Stock   32,500
           
To Gross Profit   95,900      
    1,85,000     1,85,000

 

Profit and Loss Account
Particular
Amount Particular
Amount
To Taxes and Insurance   12,500 By Gross Profit   95,900
To General Charges   7,820 By Commission   1,750
To Salaries   33,000      
To Bad Debts   1,250      
To Advertising   4,500      
To Interest   1,180      
To Net Profit   37,400      
    97,650     97,650

 

Balance Sheet
Particular
Amount Particular
Amount
Capital 1,28,900   Building   75,900
Add: Net Profit 37,400 1,66,300 Furniture and Fittings   6,400
Sundry Creditors   25,000 Motor Vehicles   62,500
Bank Overdraft   28,500 Closing Stock   32,500
Bills Payable   2,000 Sundry Debtor   38,000
      Cash in Hand   6,500
    2,21,800     2,21,800

 

 

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 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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T.S. Grewals Double Entry Book Keeping - Question No 27 Chapter No 18 - T.S. Grewal 11 Class

T.S. Grewal’s Double Entry Book Keeping

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