Question No 38 Chapter No 19 – T.S. Grewal 11 Class

Question No 38 Chapter No 19

Question No 38 Chapter No 19

38. Surya does not keep a systematic record of his transactions. He is able to give you the following information regarding his assets and liabilities:

  31st March 2017 31st March 2018
Creditors for goods 21,000 19,000
Creditors for expenses 1,500 1,800
Bills Payable 8,700 11,500
Sundry Debtors 35,000 34,000
Stock At cost 28,000 25,000
Furniture and Fittings 10,000 12,000
Cash 5,100

Following additional information is also available for the year ended 31st March, 2018:

   
Bills Payable Issued 20,800
Cash Sales 15,000
Payment to Sundry Creditors 31,000
Expenses paid 6,600
Drawings 8,000

Bad Debts during the year were 900. As regards sale, Surya tells you that he always sells goods at Cost plus 25%. Furniture and Fittings are to be depreciated at 10% of the value in the beginning of the year. Prepare Surya’s Trading and Profit and Loss Account for the year ended 31st March, 2018 and his Balance Sheet

 

The solution of Question No 38 Chapter No 19:-

 

Trading Account
Particular
Amount Particular
Amount
To Opening Stock   28,000 By Sales  15,000 + 51,000 66,000
To Purchases    49,800 By Closing Stock   25,000
To Gross Profit   13,200      
    91,000     91,000

 

Profit and Loss Account
Particular
Amount Particular
Amount
To Bad Debts   4,050 By Gross Profit   13,200
To Expenses 6,600        
Add: Closing Creditors for Expenses 1,800 6,900      
To Depreciation on Furniture and Fittings   1,000      
To Net Profit   4,400      
    13,200     13,200

 

Balance Sheet
as on April 01, 2018 
Particular
Amount Particular
Amount
Creditors for Goods   19,000 Cash Balance   4,600
Creditors for Expenses   1,800 Stock   25,000
Bills Payable   11,500 Debtors   34,000
Capital 46,900   Furniture and Fittings   12,000
Less: Drawings 8,000        
Add: Net Profit 4,400 43,300      
    75,600     75,600

 

Balance Sheet
as on April 01, 2017
Particular
Amount Particular
Amount
Creditors for Goods   21,000 Cash Balance   5,100
Creditors for Expenses   1,500 Stock   28,000
Bills Payable   8,700 Debtors   35,000
Capital   46,900 Furniture and Fittings   10,000
           
    78,100     78,100

 

Bank Account
Particular
Amount Particular
Amount
Balance b/d   5,100 Expenses A/c   6,600
Debtors A/c   51,100 Sundry Creditors A/c   31,000
Sales A/c   15,000 Furniture and Fittings A/c   3,000
      Bills Payable A/c   18,000
      Drawings A/c   8,000
      Balance c/d   16,375
    71,200     71,200

 

Debtors Account
Particular Amount Particular Amount
Balance b/d   35,000 Bad Debts   900
      Sales A/c Cash   51,100
Sales Credit A/c   51,000      
           
      Balance c/d   34,000
    3,00,000     3,00,000

 

Creditors Account
Particular Amount Particular Amount
Bills Payable A/c   20,800 Balance b/d   21,000
Cash A/c   31,000      
           
Balance c/d   19,000      
      Purchases A/c   49,800
    70,800     70,800

 

Bills Payable Account
Particular Amount Particular Amount
 Cash   18,000 Bad Debts   8,700
           
           
Balance c/d   11,500 Creditors for goods   20,800
    29,500     29,500

 

 

Furniture and Fittings Account
Particular Amount Particular Amount
Balance b/d   10,000 Depreciation   1,000
Cash A/c   31,000      
      Balance c/d   12,000
Cash-Purchases   3,000      
    70,800     70,800

 

Computation of Cost of Goods Sold and Credit Sales

COGS = Opening. Stock + Purchases – closing. Stock
  = 28,000 + 49,800 – 25,000
  = 52,800
Gross Profit = 52,800 × 25/100
  = 13,200
Total Sales = COGS + Gross Profit
  = 52,800 + 13,200
  = 66,000
Credit Sales = Total Sales – Cash Sales
  = 66,000 – 15,000
  = 51,000

 

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

Check out T.S. Grewal +1 Book 2019 @ Official Website of Sultan Chand Publication

T.S. Grewals Double Entry Book Keeping - Question No 38 Chapter No 19 - T.S. Grewal 11 Class

T.S. Grewal’s Double Entry Book Keeping

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