Question

A Madras head office has a branch at Salem to which goods are invoiced at
cost plus 20%. From the following particulars, prepare Branch A/c in the head
office books:
Rs

Goods sent to branch
Total sales
Cash sales
Cash received from Branch debtors
Branch debtors on 1-1-96
Branch stock on 1-1-96
Branch stock on 31-12-96
2,11,872
2,06,400
1,10,400
88,000
24,000
7,680
13,440​

Answer 1

Answer:

Explanation:

                                        Branch Account                                                                  

                                     Rs                                                      Rs                              

To Balance b/d                                  By Bank

  Stock                        7680                  Cash sales       110400

  Debtors                 24000                   Cash received    88000

                                                            By stock reserve  1280

To Goods sent to branch   211872     By Goods sent         35312

To Stock reserve                      2240  By balance c/d

To profit                             34640           Stock                   13440

                                                              Debtors                  32000

                                                                                                                                 

                               280432                                              280432                          

Answer 2

a madras head office has a branch at salam to which goods are invoiced at cost plus 20%from. the following particulars.prepare branch a/c in the head office books...