Date Particular L.

F
3-Dec Cash account Dr
Bank account Dr
To Capital account
(being cash and bank balance contributed by Mrs Veena in capital to
commence a business)
5-Dec Furniture account Dr
To Creditors account
To Bank account
(being the furniture purchased from the bank account and the
remainder for cash)
7-Dec Purchase account Dr
To Bank account
( being the goods purchased on sale through the business bank
account )
8-Dec Bank account Dr
To Sales account
( being the entire goods sold off by Mrs Veena )
10-Dec Rent account Dr
Electricity account Dr
Salary acount Dr
To Bank account
( being the expenses like rent,electricity and salary paid by her
through the bank account)

Date Particular L.F

3-Dec Cash account Dr
Bank account Dr
To Capital account
(being cash and bank balance contributed by Mrs Veena in capital to
commence a business)
Dr ( in Rs) Cr (in Rs)
5000
500000
505000

60000
30000
30000

315000
315000

500000
500000

10000 Type of Account

10000
10000 Real account
30000

Personal account

Nominal account
Debit Credit
( in Rs) (in Rs)
5000
500000
505000

Revenue Rs 5000
COGS Rs 800
Gross profit = Revenue-
COGS Rs 5000- Rs 800 = Rs 4,200
Expenses
Boxes Rs 100
Car Rs 400
Advertising Rs 800
Insurance Rs 1200
Golden Rule
Debit what comes in
Credit what goes out
Debit the receiver

Credit the giver

Debit the expense or loss
Credit the income or gain
 Average
Total Average Variable Average
Total Fixed Variable Cost Total Cost Fixed Cost Cost Total Cost
Quantity (Q) Cost (TFC) (TVC) (TFC+TVC) (TFC/Q) ( TVC/Q) (TC/Q) Marginal Cost
0 100 0 100 0
1 100 20 120 100 20 120 20
2 100 30 130 50 15 65 10
3 100 40 140 33.333333 13.33333 46.66667 10
4 100 50 150 25 12.5 37.5 10
5 100 60 160 20 12 32 10
 BALANCE SHEET OF Z & X LLP as on

Liabilities Amount (Rs in '000) Assets

Owner's Equity Non Current Assets

Common Stock 1000 Equipment

Retained Earnings 860
1860

Liabilities Current Assets

Salaries payable 150 Accounts Receivables

Accounts Payable 540 Cash

Unearned Revenue 200 Prepaid Insurance

Supplies
890
Total 2750
Amount (Rs in '000)

1500

1500

250

550

300
150
1250
2750
 BALANCE SHEET OF Z & X LLP as on
Amount (Rs in Amount (Rs
Liabilities '000) Assets in '000)

Owner's Equity Non Current Assets

Common Stock 1000 Equipment 1500

Retained Earnings 860
1860 1500

Liabilities Current Assets

Salaries payable 150 Accounts Receivables 250

Accounts Payable 540 Cash 550

Unearned Revenue 200 Prepaid Insurance 300

Supplies 150
890 1250
Total 2750 2750
 BALANCE SHEET OF Z & X LLP as on

Liabilities Amount (Rs in '000) Assets Amount (Rs in '000)

Owner's Equity Non Current Assets
Common Stock 1000 Equipment 1500

Retained Earnings 860

1860 1500
Liabilities Current Assets
Salaries payable 150 Accounts Receivables 250
Accounts Payable 540 Cash 550
Unearned Revenue 200 Prepaid Insurance 300
Supplies 150
890 1250
Total 2750 2750
 Steps Involved in Demand Forecasting
1 Specifying the Objective
2 Determining the Time perspective
3 Selecting the method of Forecasting
4 Collecting And Adjusting data
5 Interpreting the outcome