Question 27 :
Profit and Loss Account stood at the
beginning of the year 1,00,000. Profit
made during the year was 60,000.
Interim Dividend paid $2,000. The
balance in the Profit and Loss Account
at the end of the year is
162,000
158,000
42,000
38,000
Answers
Answer:
for the year ended March 31, 2018
Dr.
Cr.
Particulars
Amount
(Rs)
Particulars
Amount
(Rs)
Opening stock
20,000
Sales
1,64,000
Purchases
1,05,000
Less: Return Inwards
(3,000)
1,61,000
Less: Return out words
(5,000)
1,00,000
Closing Stock
14,500
Wages
50,000
Gross Loss (Balancing Figure)
5,000
Manufacturing Expenses
8,000
Carriage
1,500
Fuel and Power
1,000
1,80,500
1,80,500
Profit and Loss Account
for the year ended March 31, 2018
Dr.
Cr.
Particulars
Amount
(Rs)
Particulars
Amount
(Rs)
Gross Loss
5,000
Repairs
500
Add: outstanding
400
900
Rent
4,000
Miscellaneous Expenses
7,000
Bad Debts
2,000
Net Loss (Balancing Figure)
27,900
Add: Additional bad debts
5,000
7,000
Depreciation on Plant and Machinery
4,000
27,900
27,900
Balance Sheet
as on March 31, 2018
Liabilities
Amount
(Rs)
Assets
Amount
(Rs)
Capital
1,00,000
Fixed Assets
Less: Drawings
(10,000)
Plant and Machinery
40,000
Less: Net Loss
(27,900)
62,100
Less: Depreciation
(4,000)
36,000
Current Liabilities
Current Assets
Creditors
12,000
Closing Stock
14,500
Bills Payable
5,000
Sundry Debtors
24,000
Outstanding Repairs
400
Less: Further Bad Debts
(5,000)
19,000
Bank
10,000
79,500
79,500
Page No 19.61:
Question 3:
Following Trial Balance has been extracted from the books of M/s. Ram Prasad & Sons on 31st March, 2018:
Particulars
Dr.
₹
Particulars
Cr.
₹
Machinery
4,00,000
Capital
9,00,000
Cash at Bank
1,00,000
Sales
16,00,000
Cash in Hand
50,000
Sundry Creditors
4,50,000
Wages
1,00,000
Interest Received
30,000
Purchases
8,00,000
Stock on 1st April, 2017
6,00,000
Sundry Debtors
4,40,000
Bills Receivable
2,90,000
Rent
45,000
Commission
25,000
General Expenses
80,000
Salaries
50,000
29,80,000
29,80,000
Additional Information:
(i) Outstanding salaries were ₹ 45,000.
(ii) Depreciate Machinery at 10%.
(iii) Wages outstanding were ₹ 5,000.
(iv) Rent prepaid ₹ 10,000.
(v) Provide for interest on capital 5% per annum.
(vi) Stock on 31st March, 2018 ₹ 8,00,000.
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2018 and Balance Sheet as at that date.
ANSWER:
Financial Statement of M/s. Ram Prasad & Sons
Trading Account
for the year ended March 31, 2018
Dr.
Cr.
Particulars
Amount
(Rs)
Particulars
Amount
(Rs)
Opening Stock
6,00,000
Sales
16,00,000
Purchases
8,00,000
Closing Stock
8,00,000
Wages
1,00,000
Add: Outstanding Wages
5,000
1,05,000
Gross Profit (Balancing Figure)
8,95,000
24,00,000
24,00,000
Profit and Loss Account
for the year ended March 31, 2018
Dr.
Cr.
Particulars
Amount
(Rs)
Particulars
Amount
(Rs)
Rent
45,000
Gross Profit
8,95,000
Less: Prepaid Rent
(10,000)
35,000
Interest Received
30,000
Commission
25,000
General Expenses
80,000
Salaries
50,000
Add: Outstanding Salaries
45,000
95,000
Depreciation on Machinery
40,000
Net Profit (Balancing Figure)
6,50,000
9,25,000
9,25,000
Balance Sheet
as on March 31, 2018
Liabilities
Amount
(Rs)
Assets
Amount
(Rs)
Capital
9,00,000
Fixed Assets
Add: Net Profit
6,50,000
15,50,000
Machinery
4,00,000
Current Liabilities
Less: 10% Depreciation
(40,000)
3,60,000
Sundry Creditors
4,50,000
Current Assets
Outstanding Salary
45,000
Closing Stock
8,00,000
Outstanding Wages
5,000
Sundry Debtors
4,40,000
Bills Receivable
2,90,000
Prepaid Rent
10,000
Cash at Bank
1,00,000
Cash in Hand
50,000
20,50,000
20,50,000
hope it helps you