Question
3:
Following Trial Balance has been extracted from the books of Prasad on 31st March, 2024:
|
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, 2023 |
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, 2024 ` 8,00,000.
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2024
and Balance Sheet as at that date.
Answer:
|
Financial Statement of M/s. Ram Prasad & Sons |
||||
|
Trading Account for the year ended March 31, 2024 |
||||
|
Dr. |
|
|
Cr. |
|
|
Particulars |
(`) |
Particulars |
(`) |
|
|
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, 2024 |
||||||
|
Dr. |
|
Cr. |
||||
|
Particulars |
Amount (`) |
Particulars |
Amount (`) |
|||
|
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, 2024 |
|||||
|
Liabilities |
Amount (`) |
Assets |
Amount (`) |
||
|
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 |
||
|
|
|
|
|
||
Question 4:
Trial Balance of a business as at 31st March, 2024 is given below:
|
Particulars |
Dr. |
Particulars |
Cr. |
||
|
Stock
on 1st April, 2023 |
25,000 |
Sales |
2,27,800 |
||
|
Furniture |
8,000 |
Commission |
500 |
||
|
Plant
and Machinery |
1,50,000 |
Returns
Outward |
1,000 |
||
|
Debtors |
30,000 |
Creditors |
40,000 |
||
|
Wages |
12,000 |
Capital |
1,50,000 |
||
|
Salaries |
20,000 |
|
|
||
|
Bad
Debts |
1,000 |
|
|
||
|
Purchases |
1,20,000 |
|
|
||
|
Electricity
Charges |
1,200 |
|
|
||
|
Telephone
Charges |
2,400 |
|
|
||
|
General
Expenses |
3,000 |
|
|
||
|
Postage
Expenses |
1,800 |
|
|
||
|
Returns
Inward |
900 |
|
|
||
|
Insurance
Premium |
1,500 |
|
|
||
|
Cash
in Hand |
2,500 |
|
|
||
|
Cash
at Bank |
40,000 |
|
|
||
|
|
4,19,300 |
|
4,19,300 |
||
|
|
|
|
|||
|
|
|
|
|
|
|
Prepare Trading and Profit and Loss
Account for the year ended 31st March, 2024 and Balance Sheet as at that date
after taking into account the following adjustments:
(i) Closing Stock was valued at ` 7,000.
(ii) Outstanding liabilities for wages were `
600 and salaries `
1,400.
(iii) Depreciation is to be provided @ 5% p.a. on fixed assets.
(iv) Included in Plant and Machinery is a machine
purchased for `
10,000 on 1st October, 2023.
(v) Insurance premium paid in advance `
200.
Answer:
|
Trading Account for the year ended March
31, 2024 |
|||||
|
Dr. |
|
|
Cr. |
||
|
Particulars |
(`) |
Particulars |
(`) |
||
|
Opening
Stock |
25,000 |
Sales |
2,27,800 |
|
|
|
Purchases |
1,20,000 |
|
Less: Returns |
900 |
2,26,900 |
|
Less: Returns |
1,000 |
1,19,000 |
Closing
Stock |
7,000 |
|
|
Wages |
12,000 |
|
|
|
|
|
Add: Outstanding Wages |
600 |
12,600 |
|
|
|
|
Gross
Profit |
77,300 |
|
|
||
|
|
2,33,900 |
|
2,33,900 |
||
|
|
|
|
|
||
|
Profit & Loss Account for the year ended March
31, 2024 |
||||
|
Dr. |
|
|
Cr. |
|
|
Particulars |
(`) |
Particulars |
(`) |
|
|
Bad
Debts |
1,000 |
Gross
Profit |
77,300 |
|
|
Insurance
Premium |
1,500 |
|
Commission
|
500 |
|
Less: Prepaid |
200 |
1,300 |
|
|
|
Salaries
|
20,000 |
|
|
|
|
Add: Outstanding Salaries |
1,400 |
21,400 |
|
|
|
Electricity
Charges |
1,200 |
|
|
|
|
General
Expenses |
3,000 |
|
|
|
|
Postage
Expenses |
1,800 |
|
|
|
|
Telephone
Charges |
2,400 |
|
|
|
|
Depreciation
on: |
|
|
|
|
|
Furniture
|
400 |
|
|
|
|
Plant
& Machinery |
7,250 |
7,650 |
|
|
|
Net
Profit |
38,050 |
|
|
|
|
|
77,800 |
|
77,800 |
|
|
|
|
|
|
|
|
Balance Sheet as on March 31, 2024 |
|||||
|
Dr. |
|
|
Cr. |
||
|
Liabilities |
(`) |
Assets |
(`) |
||
|
Creditors |
40,000 |
Furniture |
8,000 |
|
|
|
Outstanding
Wages |
600 |
Less: Depreciation |
400 |
7,600 |
|
|
Outstanding
Salaries |
1,400 |
Plant
& Machinery |
1,50,000 |
|
|
|
Capital |
1,50,000 |
|
Less: Depreciation |
7,250 |
1,42,750 |
|
Add: Net Profit |
38,050 |
1,88,050 |
Cash
at Bank |
40,000 |
|
|
|
|
Cash
in Hand |
2,500 |
||
|
|
|
Closing
Stock |
7,000 |
||
|
|
|
Debtors |
30,000 |
||
|
|
|
Prepaid
Insurance |
200 |
||
|
|
2,30,050 |
|
2,30,050 |
||
|
|
|
|
|
||
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Ts Grewal Solution 2024-2025
Class 11th