Time Accounting Marks

2:30 hours 80

Attempt 4 questions from section ( B ) and 1 question

from section ( C ) which is compulsory.

General Journal Entries:

May 1, zuhaib started bussines with his company name MZS.C0 along with cash investment of 1500000,
furniture 250000,typewriter 10000,stationary 5000 and computer 30000.
May 2, he purchased merchandise of 25000 from MFR.Co paid cash 20000 and balance on account.
May 3, withdraw merchandise of 5000 for private use and 10000 for sister’s marriage ceremony.
May 7, sold goods on cash 10000 and on credit 20000.
May 10,purchased merchandise on cash 5000 and paid all cash at the time of purchasing.
May 16,open a bank account with 10000 cash.
May 20,paid 5000 to MFR..
May 24,merchandise returned to MFR 10000.
May 26, paid salaries to employes 50000.
May 28, paid rent 25000.
Required: prepare general journal entries and make ledgers in the skeleton form of T-accounts.

General ledger & Trial balance:

Mr zabs started bussines on july 1, 2010 with the investment of cash Rs.90,000 and office equipment worth
Rs.90,000 and the following transactions were completed during the month:
1, purchased merchandise for cash 45000
4,purchased office supplies for cash 3600
5,purchased merchandise on account 27000
15,sold merchandise for cash 36000
20, paid to suppliers 18000
25,sold merchandise on account 9000
27,purchased furniture on account 9000
29,paid rent for the month 2700
Required: post the transactions into the ledger (T-accounts),prepare trial balance for the month of july
31,2010

CashBook:
June 1,Thol corporation invest cash in business Rs.50000 and cash at bank Rs. 90000. these are the
follwing cash receipt and cash payments in the month of june.
June 4, customer deposit directly in the bank Rs.15000.
June 7, purchase merchandise for cash Rs.10000.
June 9, THOL partners received a cheque of Rs. 14000 and deposit in the bank at the same day in the full
settlement of their account with ABC corporation Rs.16000.
June 14, cash sales of Rs.25000 which includes Rs.5000 of on account.
June 15, issued a cheque of Rs.10000 in the full settlement of Rs.12500.
June 17, with draw merchandise for office use Rs.12000.
June 19, owner with draw cash from banl Rs.5000 for his daughter’s school fee.
June 22, paid salaries by cheque Rs.15000.
June 24, cash is short byRs.4000.
June 27,cash is over byRs. 2000.
Required : prepare three column cash book and post sales and purchase account if any..
Special Journal:
Thol corporation completed following transactions regarding sale and purchase.
Sold merchandise to Antash company Rs.5000
Purchased merchandise from A.A.Ebad Rs.10000
Sold merchandise on cash Rs.10000
Merchandise purchased from Antash company Rs.12500
Merchandise returned to antash company Rs.5000
Sold merchandise to AAA.CO Rs.2500
Sold merchandise to BCC company Rs.1000
Merchandise returned to A.A.Ebad Rs.2000
Purchase merchandise from Zamir Rs.5000 on cash.
Purchase merchandise from MTR Rs.3000.
Required: (i) make sales and purchase journal.
(ii) make subsidiary ledgers and schedule of A/C receivable.

Bank Reconciliation Statement:

Thol corporation realized these differences with his bank.
Debit balance of bank column Rs.50000.
Debit balance of pass book Rs.75000.
Cheques deposit into bank Rs.50000 but not shown.
Cheques Unpresented for payment Rs.12000
Bank credit Rs 5000 for interest and debit Rs.3000 for collection charges.
Sahir deposit directly into bank but not recorded in the cashbook Rs.2000.
Bank service charges Rs.1000 which is deducted by bank but nor recorded in cashbook.
A customer’s cheque returned marked N.S.F Rs.2500 but nor less in the cashbook.
Outstanding cheques are Rs.25000 but recoreded in the bank statement.
Cheque was deposit in the bank as Rs.50000 but bank recorded errorneously as Rs.5000.
Bank deducted online charges Rs.1500 but not recoreded in the cashbook.
Cheques deposit in the bank but not cleared Rs.66000.
Required: prepare bank reconciliation statement and also necessary general journal entries.

Correction of errors:
A sale of goods to rahim for Rs.2500 was passed through the purchase book.
Salary of Rs.8000 paid to hameed was wrongly recorded to his personal account.
Furniture purchased on credit from ali arshad for Rs.10000 was entered in the purchase book.
Rs.50000 spent on the extension of building was debited to building repair account.
Goods returned by mehmood ali Rs. 12000 were entered in the purchase return book.
Rs.1500 received from rahim have been credited to the account of karim.
Rs.500 paid for repair of t.v set of the proprietor debited to general expense account.
Required : make correct general journal entries.
 Section ( c )

Financial Statement:
Balance taken from the ledger of Thol Education System,as on june 30,2010 before adjustments was as
follows:

Debit Balances
Cash 1800, account receivable 2850, merchandise inventory(opening) 1200, office equipment 900,
purchases 3000,prepaid shop rent 1200, carriage in 225, salarie expense2100,insurance expense 450,
sales discount 75.
Credit balances:
Account payable 2250, Thol capital 4725, sales revenue 6000,purchase discount 105,
Commission income 600, allowance for bad debts 120.

Supplementary data for adjustment:

1. taxes payable 39
2. salaries unpaid 285
3. shop rent prepaid 375
4. insurance prepaid 90
5. commission receivable 66
6. bad debts expense 150
7. depreciation expense on office equipment 90
8. merchandise inventory was valued at 1950 on june 30,2010

Required : prepare income statement and classified balance sheet as on june 30,2010
a)prepare closing entries in the journal from the above question
OR
b)prepare adjusted trial balance from the above question.

Prepared by:

Sir zubbi