Professional Documents
Culture Documents
Trading, P&lac, Bs
Trading, P&lac, Bs
on 31st
March 2009. You are required to make the necessary closing entries and to
prepair the Treding and Proifit &Loss Account and a Balance Sheet as on that
date :
Rs.
Stock on1st April
1 500
B/R
2,250
Purchase
18,500
Wages
1,400
Insurance
550
Sundry Debtor
15,000
Carriage Inward
400
Commission (Dr.)
400
Interest on Capital
350
Stationary
225
Return Inward
650
Capital
8,950
The Closing Stock was valued at Rs. 12,500.
Commission (cr.)
Return outward
Trade Expenses
Office Fixtures
Cash in Hand
Cash at Bank
Rent & Taxes
Carriage Outward
Sales
Bills Payable
Creditors
Rs.
200
250
100
500
250
2,375
550
725
25,000
1,500
9,825
adjustments
1. Insurance outstanding Rs.400
2. Depreciation on office fixture @ 10%
3. Wages prepaid Rs.200
4. Interest on capital allowed @ 5% p.a.
5. 2/5 of commission received is unearned.
Rs.
To Opening Stock
To Purchase
Less: Return
Outward
1500
By Sales
Less: Return Inward
18,500
250
To Wages
To Carriage Inward
To Gross Profit c/d
To
To
To
To
To
To
To
To
Rs.
Insurance
Commission
Interest on Capital
Stationary
Trade Expenses
Rent And taxes
Carriage Outward
Net Profit transferred to
Capital A/c
By Closing Stock
18,250
1,400
400
15,300
36,850
550 BY Gross Profit b/d
400 By Commission
350
225
100
550
725
Rs.
25,000
650
Rs.
24,350
12,500
36,850
15,300
200
12,600
15,500
15,500
8,950
12,600
Rs.
Assets
9,825 Cash in Hand
1,500 Cash at Bank
Bills Receivables
Stock
Sundry Debtors
21,550 Office Fixtures
Rs.
250
2,375
2,250
12,500
15,000
500
32,875
32,875