Question

JMUNUI expense, will be debited to Profit and Loss Account.
Cr. (3)
Illustration 5.
From the following information, prepare Trading Account for the year ended
31st March, 2019:
1,00,000
2,00,000
50,000
50,000
*0,000
5,000
Cash Purchases ? 1,50,000; Credit Purchases 9,00,000; Returns Inward 20,000;
Cash Sales ? 1,60,000; Credit Sales ? 11,00,000; Returns Outward * 10,000; Freight
Inwards 3,000; Carriage Inwards 3,000; Wages and Salaries 4,000; Opening
Stock * 1,50,000; Closing Stock 88,000 but its net realisable value (market value)
is 84,000,​

Answer 1

Answer:

Explanation:

                          TRADING ACCOUNT

OP STOCK 150000                                 RETURN OUTWARDS 10000

PURCHASES 10,50,000                              SALES 12,60,000

RETURN INWARDS 20000                          CL STOCK       84000

FREIGHT               3000

CARIAGE INWARDS    3000

GROSS PROFIT       128000 - SALARIES = 4000

SO,NP=124000