EXERCISES: 4

Prepare trading and profit and loss account for the year ending 31.3.07
Opening stock (1.4.2007)
Sales
Purchases
Wages
Purchases return
Sales return
Carriage inwards
Closing stock
Rent
Salary
Telephone expenses
Electricity expenses
Discount allowed
Commission received
Salary wages
Bonus
Depreciation
Stationery
Postage and stationery

30000
2,00,000
1,10,000
25,000
3,000
5,000
800
50,000
2,500
10,000
2,300
1,200
500
1,000
5,000
4,000
2,000
1,000
200

Answers:
Gross profit=82,200
Net profit=54,500
EXERCISE:5
Prepare the trading and profit and loss account and a balance sheet as on 31 st
march 2008
Opening stock
Bills receivable
Commission(Cr)
Returns outwards

500
2,250
200
250

Purchase
Wages
Insurance
Sundry debtors
Carriage inwards
Commission (Dr)
Interest on capital
Stationary
Returns inwards
Trade expenses
Office fixtures
Cash in hand
Cash at bank
Rent and taxes
Carriage outwards
Sales
Bills payable
Creditors
Capital
Closing stock

19,500
1,400
550
15,000
400
400
350
225
650
100
500
250
2,375
550
725
25,000
1,500
9,825
8,950
12,500