Q.41. The following Trail balance has been extracted from the books of Ms. Ram Prasad & Sons. On 31st March, 2015:
Debit balances
Rs.
Credit balances
Rs
Machinery
4000
Capital
9000
Cash at bank
1000
Sales
16000
Cash in Hand
500
Sundry Creditors
4500
Wages
1000
Interest Received
300
Purchases
8000
Stock on 1st April, 2015
6000
Sundry Debtors
4400
Bills Receivable
2900
Rent
450
Commission
250
General expenses
800
500
Salaries
29800
29800
ANSHU MALHO
1726
Adjustments:
1) Outstanding Salary Rs. 450
2) Depreciate Machinery at 10%
3) Wages outstanding amounted to Rs. 50
4) Rent prepaid amounted to Rs. 100
5) Stock on 31st March, 2015 amounted to Rs. 8000.
Prepare the Trading and Profit and Loss A/c for the year ended 31st Mach, 2015 and the balance sheet as at the last date of
the year. (Gross Profit Rs. 8950, Net Profit Rs. 6500 and balance sheet total Rs. 20500).
November, 2018
Answers
Explanation:
it may be helpful to you
please mark it
in trading account
Dr side
To opening stock. 6,000
To purchases. 8,000
To wages 1000
+outstanding 50. 1050
To gross profit. 8950
Total. 24000
in the credit side of trading account
By sales. 16000
By closing stock. 8000
Total. 24000
in the debit side of profit and loss account
To depreciation on machinery 400
To rent 450
-prepaid (100). 350
To commission. 250
To General exp. 800
To salary. 500
+outstanding. 450. 950
To net profit. 6500
Total. 9250
in the credit side of profit and loss
By gross profit. 8950
By interest received. 300
Total. 9250
