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CBSE Class 11-commerce Answered

From the following Trial Balance of M/s.Mehta and Sons as on 31st March. 2016, prepare Trading and Profit and Loss Account and Balance Sheet. Particulars Rs.  Particulars Rs.  Cash in Hand 50 Bank overdraft 2,850 Bank Balance 600 Creditors 2,500 Debtors 3,800 Capital 12,500 Bad debts 125 Provision for bad debts 200 Stock (opening) 3,460 Sales 15,450 Purchases 5,475 Purchase return 125 Sales return 200 Commission 375 Furniture and fittings 640     Motor vehicles 6,250     Buildings 7,500     Advertisement 450     Interest on bank overdraft 118     Taxes andinsurance 1,250     General expenses 782     Salaries 3,300       Adjustments:  i. Stock in hand on 31-3-2016 Rs.5,750  ii. Depreciate building @ 5%, furniture and fittings @ 10% and motor vehicles @20%.  iii. Rs.85 is due for interest on bank overdraft.  iv. Salaries Rs.300 and taxes Rs.120 are outstanding.  v. One third of the commission received is in respect of work to be done next year.  vi. Further Bad Debts Rs.100 and make provision for doubtful debts @10%  
Asked by Topperlearning User | 04 Jul, 2016, 08:16: AM
answered-by-expert Expert Answer

 Trading Account for the year ended 31st March, 2016

Dr.

Cr.

Particulars

 

Amount Rs. 

Particulars

 

Amount Rs. 

To Opening Stock

 

3,460

By Sales

15,450

 

To Purchases

5,475

 

Less : Return

200

15,250

Less : Return

125

5,350

By Closing Stock

 

5,750

 

 

 

 

 

 

To Gross Profit c/d

 

12,190

 

 

 

 

 

21,000

 

 

21,000

 

 

Profit and Loss Account for the year ended 31st March, 2016

Dr.

Cr.

Particulars

 

Amount Rs. 

Particulars

 

Amount Rs. 

To Bad Debts

125

 

By Gross Profit b/d

 

12,190

Add: Further Bad Debt

100

 

By Commission

375

 

Add: Provision for doubtful debts @10%

370

 

Less: 1/3rd Received in Advance

125

250

 

595

 

 

 

 

Less: Provision for Bad Debts

200

395

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

To Advertisement

 

450

 

 

 

To Interest on Bank overdraft

118

 

 

Answered by | 04 Jul, 2016, 10:16: AM
CBSE 11-commerce - Accountancy Part II
Asked by Topperlearning User | 04 Jul, 2016, 08:16: AM
ANSWERED BY EXPERT ANSWERED BY EXPERT