Question No 30 Chapter No 18 – USHA Publication 11 Class

Question No 30 Chapter No 18

Question No 30 Chapter No 18

Goods are withdrawn for business and personal use

30.The following balance is taken from the books of D. Goswami:

Ledger balancesRsLedger balancesRs
Stock (1.4.2018)45,000Plant & machinery24,000
Purchases return4,000Sale return7,000
Rent5000Trade expenses2,000
Bad debts1,0006% investments (1.7.2018)50,000
Sundry debtors40,000Sundry creditor19,000
Bad debts reserve800Cash 12,200
Establishment6,000Miscellaneous receipt1,200

After making the following adjustment, prepare trading account and profit & loss account for the ear ended 31st march 2019 and a balance sheet as on that date.

  1. Stock on 31st March 2019 was RS 75,000
  2. Depreciation machinery by 10% & furniture by 20%
  3. Wages RS 5,000 and salaries Rs 1,200 are outstanding
  4. Write off Rs 500 as bad debts and create a reserve on bad and doubtful debts at 5% and reserve for a discount on debtors at 2%
  5. Investment is made on 1.7.2018 and no interest has been received so far.

The solution of Question No 30 Chapter No 18:-


Trading A/c
To Opening Stock A/c 45,000By Sale A/c4,35,000 
To Purchases A/c2,95,000 Less: Return7,0004,28,000
Less: return4,0002,91,000By Closing Stock 75,000
To Wages A/c40,000    
Add: outstanding wages5,00035,000   
To Gross Profit A/c 1,22,000   
  5,03,000  5,03,000


Profit/Loss A/c
To Rent A/c 5,000By Gross Profit A/c 1,22,000
To Salaries A/c24,000 By Interest on investment A/c 2,250
Add: outstanding salaries1,20025,200By miscellaneous receipt A/c 1,200
To Establishment 6,000   
To Provision for doubtful debts A/c     
Bad debts1,000    
Add: further bad debts500    
Add: provision required1,975    
Less: Old provision8002,675   
To Trade exp. 2,000   
To Dep. On machinery 2,400   
To Dep. On Furniture 300   
To Provision for discount on dents 750.50   
To Insurance 1,500   
To Net profit A/c 78,624.50   
  1,25,450  1,25,450


Balance Sheet
Capital A/c1,20,000 Debtors40,000 
Add: Net Profit78,624.50 Less: Provision for doubtful debts500 
less: Drawing21,0001,78,624.50Less: provision for doubtful debts1,975 
Sundry Creditor 19,000Less: provision for discount750.5039,774.50
Outstanding salaries 1,200Cash 12,200
Outstanding Wages 5,000Closing Stock 75,000
   Investment 50,000
   Accrued interest 2,250
   Less: depreciation3001,200
   Less: depreciation2,40021,600
   Patents 4,800
  2,03,824.50  2,03,824.50



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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