Question no 37 Chapter No 16 - Unimax Class 11

Question No 37 Chapter No 16 – Unimax Class 11

Table of Contents

The solution of Question No 37 Chapter No 16 – UNIMAX Class 11

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

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

From the following ledger balance prepare Trading and Profit & Loss Account for the year ended 31st March, 2020, and a balance sheet as on date:

Balance	₹	Balance	₹
Capital A/c	99,400	Cash	10,530
Drawings A/c	10,550	Repairs and Renewals	3,370
Bills receivable	9,500	Bank	18,970
Plants & Machinery	28,800	Interest and Discount (Dr.)	5,870
Sundry debtors (including Madan’s dishonored bill ₹ 1,000)	62,000	Bad debts	3,620
Loan A/c cr.at 6%	20,000	Sundry creditors	69,630
Wages (Manufacturing)	40,970	Fixtures and Fittings	8,970
Returns Inward	2,780
Purchases	2,56,590
Sales	3,56,430
Commission received	5,640
Rent and Taxes	5,620
Stock on 1.4.2019	69,680
Salaries	11,000
Travelling expenses	1,800
Insurance (including ₹ 300p.a. paid up to30th sept.,2020	400

Stock in hand on 31st March, 2020 was₹ 1,28,960. Write off half of Madan’s dishonored bill. Depreciation Plant and Machinery by 5% and Fixtures and Fittings by 10%.

The solution of Question No 37 Chapter No 16 – UNIMAX Class 11

Trading and Profit & Loss A/c For the year ended 31st March, 2020
Particulars		Amount	Particulars		Amount
To Opening stock		69,680	By sales	3,56,430
To purchases		2,56,590	Less: Returns	2,780	3,53,650
To Wages		1,15,370	By Closing stock		1,28,960
To Gross Profit		1,15,370
(transferred to P & L A/c)
		4,82,610			4,82,610
To Repairs & Renewals		3,370	By Gross Profit b/d		1,15,370
To Interest & Discount		6,870	By Commission received		5,640
To Rent & Taxes		5,620
To Salaries		11,000
To Travelling exp.		1,880
To Insurance	400
Less: Prepaid insurance	150	250
To Dep. On plant& Machinery		1,440
To Dep. Fitting & Fixtures		897
To Bad debts	3,620
Add: Further bad debts	500	4,120
To Net Profit (transferred to Capital A/c)		86,563
		1,21,010			1,21,010

Balance Sheet
As on 31st March,2020

Liabilities		Amount	Assets		Amount
Capital	99,400		Bills receivable		9,500
Add: Net Profit	89,563		Plant & Machinery	28,800
Less: Drawings	10,550	1,75,412	Less: Depreciation	1,440	27,360
Loan		20,000	Sundry debtors	62,000
Sundry creditors		69,630	Less: Madan’s Bill	500	61,500
Outstanding interest			Cash		10,530
			Bank		18,970
			Fixtures & Fitting	8,970
			Less: Depreciation	897	8,073
			Closing stock		1,28,960
			Prepaid insurance		150
		2,65,043			2,65,043

Note. It has been assumed that the items interest and discounts (Dr.) amounting to ₹ 5,870, include interest on loan of ₹ 20,000 @ 6% p.a. So, there is no outstanding amount of interest on loan.

Thanks, Please Like and share with your friends

Comment if you have any Doubts.