Question No 43 Chapter No 18
Goods withdrawn for business and personal use
43. From the following trial balance of Sukhdev Singh, prepare trading and profit and loss account for the year ended 31st March, 2019 and a balance sheet as on that date.
|Plant and machinery||19,720||–|
|Fixtures and fittings||9,480||–|
|Insurance and taxes||4,175||–|
|Factory fuel and power||1,276||–|
|Stable expenses for distribution||2,473||–|
|Stock 1st April, 2018||34,170||–|
|Horses and carts||5,165||–|
|Interest and bank charges||475||–|
|Cash at bank||7,540||–|
|Cash in hand||145||–|
|Abdul Rahman’s capital a/c||–||80,000|
|Reserve for bad & doubtful debts||–||2,000|
(i)Stock on 31st March, 2019 29,630.
(ii) Depreciation — plant and machinery @ 10%, fixtures and fitting @ 5%, horses and carts 1000.
(iii) Bring provision for bad and doubtful debts to 5%.
(iv) Unexpired insurance 300 and taxes 190.
(v) A commission of 1% on the gross profit to be provided for works manager.
(vi) A commission of 5% on net profit after charging the works manager’s commission to be credited to general manager.
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The solution of Question No 43 Chapter No 18:-
|To Opening stock A/c||34,170||By Sale A/c||2,46,850|
|To Purchases A/c||97,165||Less: return||3,170||2,43,680|
|Less: Transfer to land and building||1,140||96,025|
|To manufacturing wages A/c||34,965||By Closing Stock A/c||29,630|
|To carriage inwards A/c||1,980|
|To manufacturing Exp. A/c||9,445|
|To fuel & power A/c||1,276|
|To lighting A/c||986|
|To Gross Profit A/c||94,453|
|To salaries||15,965||By Gross Profit A/c||94,453|
|To Carriage outwards||2,150|
|To General Exp.||8,142|
|To Stable exp. For distribution||2,473|
|To insurance & taxes||4,175|
|To bad debts w/off||1,485|
|Add: reserve for doubtful debts||3,907|
|Less; old provision||2,000||3,392|
|To interest on bank loan||475|
|To Dep. On plant & machinery||1,972|
|To Dep. On fixtures & fitting||474|
|To Dep. On Horses and carts||1,000|
|To works manager commission||945|
|To Gen. manager commission||2,643|
|To Net profit A/c||20,509|
|Add: Net Profit||50,209||1,30,209||Less: provision||3,907||74,233|
|Creditor||54,160||Cash at bank||145|
|Bank loan||10,000||Cash at bank||7,540|
|Outstanding commission work manager.||975||Fixtures & fittings||9,480|
|Outstanding commission Gen. manager.||2,643||Less: depreciation||474||9,006|
|Plant & machinery||19,720|
|Horses & carts||5,165|
|Prepaid insurance & taxes||490|
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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. 3 – Origin of Transactions
Chapter No. 6 – Accounting for Goods and Services Tax(GST)