Question 25.
From the following balances, as on 31st March, 2018, prepare Trading and Profit and Loss Account and Balance Sheet:
Closing Stock on 31st March, 2018 was valued at ₹ 14,500.
Answers
Trading & P&L A/c with Balance sheet for the year ended 31st March 2018
Explanation:
Trading and P&L A/c
Particulars Amount(Rs.) Particulars Amount(Rs.)
To Opening stock 20,000 By Sales 1,64,000
To Purchases 1,05,000 By Return 5,000
To Wages 50,000 outwards
To Return inwards 4,000 By Closing Stock 14,500
To Carriage 1,500 By Gross Loss 5,000
To Mfg. Expenses 8,000 (Bal. fig.)
1,88,500 1,88,500
To Gross Loss 5000 By Net Loss 30,500
To Rent 4000 (Bal. fig.)
To Life Insurance 12000
Premium
To Repairs 500
To Trade expenses 8000
To Bad Debts 2000
30,500 30,500
Balance Sheet
as at 31.3.2018
Notes to A/c Amount(Rs.)
Non-Current Assets:
Plant and Machinery - 40,000
Current Assets:
Debtors - 24,000
Closing Stock - 14,500
Bank - 10,500
Total(A) 88,500
Non-Current Liabilities:
Capital Rs.1,00,000 -
Less:Net loss (Rs.30,500) 69,500
Current Liabilities:
Creditors - 12,000
Bills Payables - 7,000
Total(B) 88,500