Case Study
From the following Trial Balance prepare Trading and Profit & Loss A/c for the year ending XXXXXXXXXXand a Balance Sheet as on that date. AND answer the following questions.
Debit
Amount
Credit
Drawings
10,200
Capital
95,000
Stock XXXXXXXXXX)
18,900
Sales
202000
Purchase
138600
Creditors
16,020
Printing & Stationery
2,600
Returns
1,580
Provident fund
6,550
Debtors
22,800
Interest on deposit with XYZ
450
Freehold Premises
39,000
Outstanding trade expenses
1,600
Deposit with XYZ @10% (from XXXXXXXXXX)
18,000
Provision for bad debt
2,200
Salaries (including advance INR. 3,500)
28,200
Bad debt recovered
700
890
Suspense A/C
900
Furniture
8,600
Trade expenses
12,650
Income Tax
7,900
Bank Balance
6,950
Cash in Hand
6,310
Patent Right
5,400
3,27,000
Other information:
1. Last year closing stock was valued at 10% below cost. It is needed to revert to cost. Stock as on XXXXXXXXXXwas valued at INR. 16,400 (at cost).
2. Goods costing 650 pilfered by an employee and furniture (book value on XXXXXXXXXXdestroyed by an accidental fire on XXXXXXXXXX.
3. A debtor is included in both debtors and creditors, the amount due from him is 430 and the amount due to him is 200.
4. New furniture costing 1,200 was purchased on XXXXXXXXXXon credit but not yet recorded.
5. Suspense A/c represents a cheque received from a debtor in full settlement of a claim for 1,000. The cheque was deposited into bank and duty collected also.
6. The employer’s contribution to provident fund 1,240 is yet to be paid.
7. Write-off 400 as bad and maintain provision for bad debt @5% on debtors.
8. Depreciation all intangible fixed assets @10% p.a. Patent was acquired in 2018 and annual amortization equal to 1/10th of the cost stated last year.
9. Creditors include supplies of stationery 200.
Already registered? Login
Not Account? Sign up
Enter your email address to reset your password
Back to Login? Click here