Question

From the following Trial Balance extracted from the books of a Trader at 31 st December, 2016, you are required to prepare Trading and Profit & Loss Account for the year and Balance Sheet on 31st December. The stock on 31st December is 4750
Stock, 1st January 4500
Purchases 32000
Capital, 1st January 14000
Rent 1200
Returns inward 2400
Returns outward 1300
Sales 56000
Discount allowed 1800
Doscount received 2100
Drawings 2650
Fixtures and fittings 4000
Debtors 25000
Balance at bank 2500
Creditors 12500
Salaries 8000
Electricity 400
Insurance 200
Telephone 100
Advertising 700
General expenses 450​
please answer it's urgent

Answer 1

All Factory Expenses will go in Trading A/C.

All Office Expenses will Go in P/L A/C.

Assets and Liabilities will go in Balance sheet.

Expenses will go in Debit and income will go in Credit