Worksheet

Final Accounts
Illustration 1:
The following items appear in Trial Balance of American Bull Ltd. on March 31, 2022:
Particulars Dr. ( ) Cr. ( )
Share Capital (Equity Shares of - 2,00,000
10 each)
Stock (opening) 12,000 -
Purchases and Sales 60,000 90,000
Returns 6,000 2,000
Salaries 24,000 -
Advertisement 10,000 -
Debtors and Creditors 64,000 32,000
Bad debts 5,000 -
Cash 39,000 -
Furniture 1,04,000 -
3,24,000 3,24,000

Additional Information:
(i) Closing stock valued at 20,000.
(ii) Depreciate Furniture by 10%.
(iii) Salaries outstanding amounting to 16,000.
Prepare the March 31, 2022 Balance Sheet and Statement of Profit and Loss.

Illustration 2:
The following Trial Balance has been extracted from the books of Turbo International, a Car
Accessories Trading Company as on 31st March, 2022:
Particulars Dr.( ) Cr. ( )
Share capital (Equity Shares of 10 each) 15,00,000
Stock (Finished Goods) as on 01.04.21 1,25,000
Purchases (Finished Goods) 5,65,000
Sales 11,30,000
Return 30,000 25,000
Staff Salaries 2,40,000
 Insurance expenses 30,000
Carriage inward 65,000
Advertisement 1,75,000
General Expenses 15,000
Office Rent 47,000
Sundry Creditors 3,56,000
Sundry Debtors 2,30,000
Bills Receivable 1,70,000
Cash in Hand 1,50,000
Cash at Bank 2,50,000
Land and Building 7,00,000
Furniture 2,19,000
30,11,000 30,11,000

Additional information:
a) Closing stock of Finished Goods is valued at 1,00,000 (market value 1,10,000).
b) Provide depreciation on Building @ 10% and @ 5% on Furniture.
c) Prepaid insurance 5,000.
d) Corporate tax @ 30%.
Prepare the March 31, 2022 Balance Sheet and Statement of Profit and Loss.

Illustration 3:
On April 1, 2021, Arvind Bajaj set up Smart Analytics Company investing 10,00,000 in
share capital. The activities of the business resulted in the following revenues and expenses
for 2021-22:
Revenue from services 10,80,000; Office rent 1,31,000; Electricity 90,000; Staff
salaries 1,23,000; Printing and stationary 36,000.
The following were the assets and liabilities of the business on March 31, 2022:
Equipment 8,00,000; Trade receivables 1,30,000; Cash 3,02,000; Rent deposit
10,00,000; Long-term loan payable 4,40,000; Trade payables 92,000.

During the year, the company paid a dividend of 1,68,000 and Mr. Bajaj made a further
equity investment of 90,000.

Prepare the March 31, 2022 Balance Sheet and Statement of Profit and Loss.