Question

Ms. Supraja provides the following information.

Prepare a Trading Account, Profit and Loss

Account and Balance Sheet as on 31.12. 2016.

Particulars Rs.

Opening Stock 30,000

Sales 60,000

Salaries 8,000

Wages 4,000

Creditors 3,000

Sales Return 5,000

Purchase Return 3,000

Computers 49,000

Purchases 20,000

Capital 50,000

Additional Information:

(a) Closing stock 20,000.

(b) Outstanding wages 500.​

Answer 1

Explanation:

Purchases and sales are net of returns.

Outstanding wages are to be added to wages.