Question

A company's departmental sales
X Rs. 20.000,
Y-Rs. 18,000 and Z . Rs. 16,000 whose gross profit ratio is 40%.
30% and 20% on sales respectively. Advertisement expenses
Rs. 6.750 which is to allocated on the basis of sales and total
general expenses for the period (including those relating to other
departments) were Rs. 5,400 on the total turnover of
Rs. 1,08,000. Prepare Departmental Profit and Loss Account.​

Answer 1

Answer:

sorry i didn't understand but this is your department problem

Answer 2

In this question, we are asked to maintain a departmental profit and loss account.

             DEPARTMENTAL PROFIT AND LOSS ACCOUNT

Particulars                    X           Y           Z            Particulars      X         Y      Z          

To Advertisement     2,500  2,250  2,000 By Sales     20,000 18,000 16000              

  Expense

To General

Expense               1,000  900   800

To Purchase     8,500 9,450 10,000

To Gross Profit  8,000 5,400  3,200

Total              20,000 18,000  16,000         Total          20,000 18,000 16,000

In departmental profit and loss account we write all the expense on debit hand side and all the income on the credit hand side and from income we deduct expenses and will get profit.

PROJECT CODE #SPJ2

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