Question

R.N. Swamy & Co., have opened a branch at Neyveli. The following is a list of
transactions between the head office and the branch for the year ending June 30, 1996.

Stock at branch on 31st July 1995
rs.3,000
Goods supplied to branch during the year
rs.48,000
Salaries
rs.2,400
Rent
Telephone
rs.200
Petty expenses
rs.300
Remittence received from the branch during the year
rs.55,000
Stock on 30th June 1996
rs.2,500
Balance of petty cash
rs.20
All the branch expenses are paid by head office. Show the branch A/c in H.O. books​

Answer 1

Answer:yes

Explanation: will try

Inventory= 3000+48000-2500=48500₹

Expenses= 2400+200+300=2900₹

Petty cash expenses= 20₹

Branch account 48500₹

To inventory account 48500

(Being goods worth 48000 transferred to branch)

Cash account 55000₹

To branch account 55000₹

(Being cash transferred to head office)

Petty expenses account 20₹

To branch account 20₹

No way make two columns. In the debit column:

To opening stock 3000₹

To goods sent by H.O 48000₹

To Salaries, rent & telephone 2900₹

To petty expenses 20₹

Total 53920₹

Credit column:

By closing stock 2500₹

By profit and loss 51420₹

Total 53920₹