T. S. Grewal Solutions for Class 11-commerce Accountancy CBSE Chapter 19: Adjustments in Preparation of Financial Statements

Adjustments in Preparation of Financial Statements Exercise 19.64

Solution PQ 1

Trading Account for the year ended March 31, 2019
Dr.			Cr.
Particulars	Rs.	Particulars	Rs.
To Opening Stock	16,000	By Sales	42,000
To Purchases	20,000	By Closing Stock	16,000
To Wages	8,000
To Manufacturing Expenses	1,500
To Carriage	1,600
To Gross profit c/d	10,900
	58,000		58,000

Profit and Loss Account for the year ended March 31, 2019
Dr.						Cr.
Particulars				Rs.	Particulars	Rs.
To Salaries				8,000	By Gross Profit b/d	10,900
To Repairs				1,900	By Net Loss c/d	24,900
To Rent			4,500
		Add: Unpaid Rent	500	5,000
To Bad Debts				5,000
To Depreciation On:
	Plant and Machinery		12,000
	Delivery Vehicle		3,900	15,900

				35,800		35,800

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets			Rs.
Capital		1,90000		Fixed Assets:
	Less: Drawings	(7,000)		Plant and Machinery		1,20,000
	Less: Net-Loss	(24,900)	1,58,100		Less:10% dep.	(12,000)	1,08,000
				Delivery Vehicle		26,000
Current Liabilities					Less:15% dep.	(3,900)	22,100
Sundry Creditors			26,000
Bills Payable			23,500	Current Assets
Unpaid Rent			500	Closing Stock			16,000
				Sundry Debtors			36,000
				Cash at Bank			26,000

			2,08,100				2,08,100

Adjustments in Preparation of Financial Statements Exercise 19.65

Solution PQ 2

Trading Account for the year ended March 31, 2019
Dr.							Cr.
Particulars			Rs.	Particulars			Rs.
To Opening Stock			20,000	By Sales		1,64,000
To Purchases		1,05,000			Less: Return Inward	(3,000)	1,61,000
	Less: Return Outward	(5,000)	1,00,000	By Closing Stock			14,500
To Wages			50,000	By Gross Loss c/d (Balancing Fig.)			5,000
To Manufacturing Expenses			8,000
To Carriage			1,500
To Fuel And Power			1,000

			1,80,500				1,80,500

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Gross Loss b/d			5,000
To Repairs		500		By Net Loss c/d (Balancing Fig.)	27,900
	Add: Outstanding	400	900
To Rent			4,000
To Miscellaneous Expenses			7,000
To Bad Debts		2,000
	Add: Additional Bad Debts	5,000	7,000
To Depreciation On: Plant And Machinery			4,000

			27,900		27,900

Balance Sheet as on March 31, 2019

Liabilities			Rs.	Assets			Rs.
Capital		1,00,000		Fixed Assets
	Less: Drawings	(10,000)		Plant And Machinery		40,000
	Less: Net Loss	(27,900)	62,100		Less: Depreciation	(4,000)	36,000

Current Liabilities				Current Assets
Creditors			12,000	Closing Stock			14,500
Bills Payable			5,000	Sundry Debtors		24,000
Outstanding Repairs			400	Less: Further Bad Debts		(5,000)	19,000
				Bank			10,000
			79,500				79,500

Solution PQ 3

Financial statement of Prasad Trading Account for the year ended March31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Opening Stock			6,00,000	By Sales	16,00,000
To Wages		1,00,000		By Closing stock	8,00,000
	Add: Outstanding Wages	5,000	1,05,000
To Purchases			8,00,000
To Gross Profit c/d (Balancing Fig.)			8,95,000


			24,00,000		24,00,000

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Commission			25,000
To Rent		45,000		By Gross Profit b/d	8,95,000
	Less: Prepaid Rent	(10,000)	35,000	By Interest Received	30,000
To General Expenses			80,000
To Depreciation On: Machinery			40,000
To Salaries		50,000
	Add: Outstanding Salaries	45,000	95,000
To Interest on Capital 5%			45,000
To Net Profit c/d (Balancing Fig.)			6,05,000

			9,25,000		9,25,000

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets		Rs.
Capital		9,00,000		Fixed Assets
Add: Interest on Capital		45,000
	Add: Net profit	6,05,000	15,50,000	Machinery	4,00,000
				Less: 10% Depreciation	(40,000)	3,60,000
Current Liabilities
Sundry Creditors			4,50,000	Current Assets
Outstanding Salary			45,000	Closing Stock		8,00,000
Outstanding Wages			5,000	Sundry Debtors		4,40,000
				Prepaid Rent		10,000
				Cash At Bank		1,00,000
				Bills Receivable		2,90,000
				Cash In Hand		50,000
			20,50,000			20,50,000

Adjustments in Preparation of Financial Statements Exercise 19.66

Solution PQ 4

Financial statement of Shradha Trading Account for the year ended March31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Opening Stock			42,000	By Sales	1,55,000
To Purchase		82,600		By Closing Stock	64,000
	Less: Return Outwards	(1,600)	81,000
To Carriage Inwards			1,200
To Wages		4,000
	Add: Outstanding Wages	2,400	6,400
To Power			6,000
To Gross Profit c/d (Balancing Fig.)			82,400

			2,19,000		2,19,000

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Salary			15,000
To Rent		22,000		By Gross Profit b/d	82,400
	Add: O/s For One Month	2,000	24,000
	(22,000/11)
To O/s Interest On Bank Loan			1,000
(25,000 × 8% × 6/12)
To Bad Debts		600
Add: Provision For Doubtful Debts		1,000	1,600
To Insurance		3,600
Less: Prepaid 2 Month		(600)	3,000
(3,600 × 2/12)
To Depreciation On:
	Machinery	5,000
	Furniture	700	5,700

To Net Profit c/d (Balancing Fig.)			32,100




			82,400		82,400

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets		Rs.
Capital		80,000		Fixed Assets
	Add: Net Profit	32,100		Machinery	50,000
	Less: Drawings	(18,000)	94,100	Less: 10% Depreciation	(5,000)	45,000
8% Bank Loan		25,000		Furniture	14,000
Add: Outstanding Interest		1,000	26,000	Less: Depreciation	(700)	13,300
Current Liabilities				Current Assets
Creditors			18,900	Closing Stock		64,000
Outstanding Wages			2,400	Debtors	20,600
Outstanding Rent			2,000	Less: Bad Debts	(600)
				Less:5% Provision For Doubtful Debts	(1,000)	19,000
				Prepaid Insurance		600
				Cash In Hand		1,500
			1,43,400			1,43,400

Solution PQ 5

Trading Account for the year ended March 31, 2019
Dr.					Cr.
Particulars		Amount Rs.	Particulars		Amount Rs.
Opening Stock		25,000	Sales	2,27,800
Wages	12,000		Less: Returns	900	2,26,900
Add: Outstanding Wages	600	12,600	Closing Stock		7,000
Purchases	1,20,000
Less: Returns	1,000	1,19,000
Gross Profit		77,300
		2,33,900			2,33,900

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Amount Rs.	Particulars	Amount Rs.
Bad Debts			1,000	Gross Profit	77,300
Salaries	20,000			Commission	500
Add: Outstanding Salaries	1,400		21,400
Insurance Premium	1,500
Less: Prepaid	200		1,300
Electricity Charges			1,200
Telephone Charges			2,400
General Expenses			3,000
Postage Expenses			1,800
Depreciation on:
Furniture		400
Plant and Machinery		7,250	7,650
Net Profit			38,050
			77,800		77,800

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs.	Assets		Amount Rs.
Creditors		40,000	Furniture	8,000
Outstanding Wages		600	Less: Depreciation	400	7,600
Outstanding Salaries		1,400	Plant and Machinery	1,50,000
Capital	1,50,000		Less: Depreciation	7,250	1,42,750
Add: Net Profit	38,050	1,88,050	Debtors		30,000
			Cash in Hand		2,500
			Cash at Bank		40,000
			Closing Stock		7,000
			Prepaid Insurance		200

		2,30,050			2,30,050

Adjustments in Preparation of Financial Statements Exercise 19.67

Solution PQ 6

Trading Account for the year ended March 31, 2019
Dr.				Cr.
Particulars	Amount Rs.	Particulars		Amount Rs.
Opening Stock	2,20,000	Sales	15,00,000
Purchases	11,00,000	Less: Returns	20,000	14,80,000
Carriage on Purchases	18,000	Closing Stock		2,00,600
Gross Profit	3,42,600


	16,80,600			16,80,600

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Amount Rs.	Particulars	Amount Rs.
Provision for Doubtful Debts			9,000	Gross Profit	3,42,600
Salaries	90,000			Rent from Tenants	10,000
Add: Outstanding Salaries	15,000		1,05,000	Discount	20,000
Insurance Premium	20,000
Less: Prepaid	2,000		18,000
Discount			16,000
General Expenses			40,000
Commission			22,000
Bad Debts Written Off			8,000
Depreciation on:
Furniture		2,500
Business Premises		3,000	5,500
Net Profit			1,49,100
			3,72,600		3,72,600

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs.	Assets		Amount Rs.
Creditors		1,38,000	Furniture and Fittings	26,000
Bank Overdraft		42,000	Less: Depreciation	2,500	23,500
Outstanding Salaries		15,000	Business Premises	2,00,000
Capital	3,00,000		Less: Depreciation	3,000	1,97,000
Less: Drawings	50,000		Debtors	1,80,000
Add: Net Profit	1,49,100	3,99,100	Less: Provision	9,000	1,71,000
			Closing Stock		2,00,600
			Prepaid Insurance		2,000

		5,94,100			5,94,100

Adjustments in Preparation of Financial Statements Exercise 19.68

Solution PQ 7

Financial statement of Niranjan Trading Account for the year ended March31, 2019
Dr.							Cr.
Particulars			Rs.	Particulars			Rs.
To Opening Stock			4,50,000	By Sales		43,50,000
To purchase		29,50,000			Less: Sales return	(70,000)	42,80,000
	Less: purchase return	(40,000)	29,10,000	By Closing stock			7,50,000

To wages		4,00,000
	Add: Outstanding wages	50,000	4,50,000

To Gross profit c/d (balancing amt.)			12,20,000

			50,30,000				50,30,000

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Rent A/c			5,00,000
To Salaries A/c		2,40,000		By gross profit b/d	12,20,000
	Add: Outstanding salaries	20,000	2,60,000
To Advertisement expenses			60,000	By Interest accrued on Investment (50,000 × 6% × 9/12)	22,500
To Bad debts		10,000		By Miscellaneous Receipts	12,000
Add: further bad debts		50,000
Add: Provision for doubtful debts		17,500	77,500
To Insurance			15,000
To Trade Expenses			20,000
To Reserve for discount on Debtors			6,650

To Depreciation on:
Machinery		24,000
Furniture		3,000	27,000

To net profit c/d (Balancing Fig.)			7,38,350
			12,54,500		12,54,500

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets		Rs.
Capital		12,00,000		Fixed Assets
	Add: Net Profit	7,38,350		Patents		48,000
	Less: Drawings	(2,10,000)	17,28,350	Plant And Machinery	2,40,000
Current Liabilities				Less:10%Depreciation	(24,000)	2,16,000
Sundry Creditors			1,90,000	Furniture	15,000
Outstanding Wages			50,000	Less:20%Depreciation	(3,000)	12,000
Outstanding Salary			20,000	6% Investment	5,00,000
Bills Payable			8,000	Add: Accrued Interest	22,500	5,22,500
				Current Assets
				Closing Stock		7,50,000
				Debtors	4,00,000
				Less: Bad Debts	(50,000)
				Less: Provision For Doubtful Debts	(17,500)
				Less: Provision For Discount On Debtors	(6,650)	3,25,850

				Cash		1,22,000
			19,96,350			19,96,350

Solution PQ 8

Financial statement of Mahesh Trading Account for the year ended March31, 2019
Dr.						Cr.
Particulars		Rs.	Particulars			Rs.
To Opening Stock		30,000	By Sales		5,00,000
To Purchase	2,50,000			Less: Return Inwards	(12,000)	4,88,000
Less: Drawings	(2,000)		By Closing Stock			21,000
Less: Return Outwards	(10,000)	2,38,000
To Carriage		8,000
To Wages		60,000
To Gross Profit c/d (Balancing Fig.)		1,73,000



		5,09,000				5,09,000

Profit and Loss Account For the year ended March 31, 2019
Dr.					Cr.
Particulars		Rs.	Particulars		Rs.
To Insurance		1,200
To Trade Expenses	2,000		By Gross Profit b/d		1,73,000
Add: Outstanding	12,000	14,000	By Commission	1000
To Repairs		8,000	Add: Accrued Commission	2,100	3,100
To Advertisement		15,000	By Rent Received	5,000
To Printing And Stationary		6,000	Less: Advance Rent	(1,200)	3,800
To Interest On Bank Loan	2,800
Add: Outstanding	800	3,600

To Net Profit c/d (Balancing Fig.)		1,32,100
		1,79,900			1,79,900

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets	Rs.
Capital		2,40,000		Fixed Assets
	Add: Net Profit	1,32,100		Machinery	2,80,000
	Less: Drawings	(22,000)	3,50,100	Furniture	34,000
12% Loan From Bank		30,000		Current Assets
	Add: Outstanding Interest	800	30,800	Closing Stock	21,000
Current Liabilities				Debtors	1,15,000
Creditors			1,00,000	Bills Receivable	4,000
Bills Payable			2,000	Cash At Bank	28,000
Advance Rent			1,200	Cash In Hand	12,000
Outstanding Trade Expenses			12,000	Commission Accrued	2,100
			4,96,100		4,96,100

Working Notes:

Calculation of outstanding interest on loan :
Interest on loan (30,000 × 12%)		3,600
	Less: Interest paid	(2,800)
Interest outstanding on loan		800

Adjustments in Preparation of Financial Statements Exercise 19.69

Solution PQ 9

Financial statement of Vijay Trading Account For the year ended March 31, 2019
Dr.			Cr.
Particulars	Rs.	Particulars	Rs.
To Opening Stock	1,62,000	By Sales	6,53,600
To purchase	4,70,000	By Closing stock	2,30,000
To wages	72,000
To Gross profit c/d (Balancing Fig.)	1,79,600
	8,83,600		8,83,600

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Taxes And Insurance			13,150
To Bad Debts		5,500		By Gross Profit b/d	1,79,600
	Add: Further Bad Debts	1,800		By Commission	13,200
	Add: Provision For Doubtful Debts	3,050
		10,350
	Less: Provision (Old)	(9,000)	1,350
To Car Expense			18,000
To Charity			1,050
To Depreciation On Machinery			9,340
To O/s Interest On Loan			7,000
To General Expenses			47,400
To Net Profit c/d (Balancing Fig.)			95,510
			1,92,800		1,92,800

Balance sheet as on March 31, 2019

Liabilities			Rs.	Assets		Rs.
Capital		2,45,000		Fixed Assets
	Add: Net profit	95,510		Building		1,10,000
	Less: Drawings	(20,000)	3,20,510	Machinery	93,400
Loan		78,800		Less: 10% Depreciation	9,340	84,060
Add: Outstanding Interest		7,000	85,800	Motor car		20,000
Current Liabilities				Current Assets
Creditors			25,000	Closing stock		2,30,000
Bills payable			38,500	Debtors	62,800
Bank Overdraft			33,000	Less: bad debts	(1,800)
				Less: 5%provision for doubtful debts	(3,050)	57,950

				Cash		800
			5,02,810			5,02,810

Adjustments in Preparation of Financial Statements Exercise 19.70

Solution PQ 10

Financial statement Trading Account for the year ended March31, 2019
Dr.			Cr.
Particulars	Rs.	Particulars	Rs.
To Opening Stock	2,20,000	By Sales	13,45,000
To Purchase	11,88,700	By Closing Stock	1,24,500
To Gross Profit c/d (Balancing Fig.)	60,800
	14,69,500		14,69,500

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Rs.	Particulars	Rs.
To Salaries			22,250
To Bad Debts		4,000		By Gross Profit b/d	60,800
	Add: Provision For Doubtful Debts	15,800	19,800	By Net Loss c/d (Balancing Fig.)	42,750
To Rent		9,000
	Add: Outstanding Rent	850	9,850
To General Expenses		10,750
	Add: Outstanding	1,500	12,250
To Carriage Outwards			4,000
To Depreciation On
----Plant And Machinery		17,500
----Business Premises		6,900	24,400
To Discount			11,000
			1,03,550		1,03,550

Balance sheet as on march 31, 2019

Liabilities			Rs.	Assets			Rs.
Capital		7,95,000		Fixed Assets
	Less: Net Loss	(42,750)	7,52,250
				Plant And Machinery		1,75,000
Current Liabilities					Less: 10% Depreciation	(17,500)	1,57,500
Sundry Creditors			1,06,500	Premises		3,45,000
Bills Payable			75,000		Less: 2%Depreciation	(6,900)	3,38,100
Rent Outstanding			850
General Expenses Outstanding			1,500
				Current Assets
				Closing Stock			1,24,500
				Sundry Debtors		3,20,000
					Less: Bad Debts	(4,000)
					Less: 5%Provision For Doubtful Debts	(15,800)	3,00,200

				Cash at Bank			15,450
				Cash in Hand			350
			9,36,100				9,36,100

Note: During the year firm has incurred a loss of Rs.42,750. Therefore, manager commission given in the question as 5% on Net profit after charging commission is not payable.

Adjustments in Preparation of Financial Statements Exercise 19.71

Solution PQ 11

Trading Account for the year ended March 31, 2019
Dr.					Cr.
Particulars		Amount Rs.	Particulars		Amount Rs.
Purchases (Adjusted)	2,10,000		Sales	3,85,000
Less: Returns	2,500	2,07,500	Less: Returns	1,500	3,83,500
Wages		45,300
Carriage Inwards		1,200
Gross Profit		1,29,500
		3,83,500			3,83,500

Profit and Loss Account for the year ended March 31, 2019
Dr.					Cr.
Particulars			Amount Rs.	Particulars	Amount Rs.
Outstanding Interest on Loan			2,250	Gross Profit	1,29,500
Salaries	39,000			Commission	1,500
Add: Outstanding	11,500			Discount	1,200
Add: Payable to Proprietor	15,000		65,500
Insurance Premium	1,500
Less: Prepaid	250		1,250
Discount			750
Office Expenses			15,400
Carriage Outwards			2,000
Bad Debts		1,200
Add: Provision for Doubtful Debts		800	2,000
Depreciation on:
Furniture and Fixtures		3,000
Land and Building		3,000
Plant and Machinery		5,000
Office Equipment		2,400	13,400
General Reserve			2,965
Net Profit			26,685
			1,32,200		1,32,200

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs.	Assets		Amount Rs.
Creditors		25,000	Furniture and Fixtures	20,000
Bills Payable		12,350	Less: Depreciation	3,000	17,000
Outstanding Salaries		11,500	Land and Building	50,000
Capital	1,15,000		Less: Depreciation	3,000	47,000
Add: Salary Payable	15,000		Debtors	40,000
Add: Net Profit	26,685	1,56,685	Less: Provision	800	39,200
Chatterji's Loan	25,000		Plant and Machinery	50,000
Add: Outstanding Interest	2,250	27,250	Less: Depreciation	5,000	45,000
Expenses Payable		3,300	Office Equipment	12,000
General Reserve		2,965	Less: Depreciation	2,400	9,600
			Closing Stock		45,000
			Cash at Bank		16,000
			Bills Receivable		20,000
			Prepaid Insurance		250
		2,39,050			2,39,050

Adjustments in Preparation of Financial Statements Exercise 19.72

Solution PQ 12

Trading Account for the year ended March 31, 2019
Dr.			Cr.
Particulars	Amount Rs.	Particulars	Amount Rs.
Opening Stock	8,000	Sales	2,20,000
Purchases	1,26,000	Closing Stock	20,600
Productive Wages	56,500
Stores Consumed	6,050
Carriage	3,050
Gross Profit	41,000
	2,40,600		2,40,600

Profit and Loss Account for the year ended March 31, 2019
Dr.						Cr.
Particulars				Amount Rs.	Particulars	Amount Rs.
Salaries				8,000	Gross Profit	8,000
Insurance Premium		1,320
Less: Prepaid		120		1,200
Depreciation on Machinery				5,200
Rent	5,200
Less: Deposit	400			4,800
Bad Debts			1,020
Add: Provision for Doubtful Debts			2,200
Add: Provision for Discount			1,045	4,265
General Expenses				2,600
Net Profit				6,935

				1,32,200		1,32,200

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs	Assets		Amount Rs
Creditors		20,000	Furniture		3,350
Secured Loan		16,000	Closing Stock		20,600
Capital	1,45,600		Building		67,000
Add: Net Profit	6,935	1,52,535	Prepaid Insurance		120
			Debtors	44,000
			Less: Provision for DD	2,200
			Less: Provision for Discount	1,045	40,755
			Machinery	52,000
			Less: Depreciation	5,200	46,800
			Rent Deposit		400
			Cash in Hand		1,930
			Bank		6,580
			Input CGST		500
			Input SGST		500
		1,88,535			1,88,535

Adjustments in Preparation of Financial Statements Exercise 19.73

Solution PQ 13

Trading Account for the year ended March 31, 2019
Dr.					Cr.
Particulars		Amount Rs.	Particulars		Amount Rs.
Opening Stock		30,000	Sales	1,50,000
Purchases	1,20,000		Less: Returns	10,000	1,40,000
Less: Returns	20,000	1,00,000	Closing Stock		45,000
Gross Profit		55,000
		1,85,000			1,85,000

Profit and Loss Account for the year ended March 31, 2019
Dr.						Cr.
Particulars			Amount Rs.	Particulars		Amount Rs.
Outstanding Interest on Loan			3,000	Gross Profit		55,000
Taxed and Insurance	5,000			Commission	5,000
Add: Outstanding Taxes	2,000			Less: Received in Advance	1,000	4,000
Less: Prepaid Insurance	500		6,500	Interest Receivable on Deposits		2,100
Establishment Expenses			22,000
Depreciation on Furniture			600
Outstanding Salary			1,000
Bad Debts		5,000
Add: Provision for DD		3,000	8,000
Net Profit			20,000

			61,100			61,100

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs.	Assets		Amount Rs.
Creditors		20,000	Furniture and Fixtures	6,000
Capital	1,00,000		Less: Depreciation	600	5,400
Less: Drawings	14,000		Deposits	40,000
Add: Net Profit	20,000	1,06,000	Add: Interest Receivable	2,100	42,100
Bank Loan	20,000		Debtors	50,000
Add: Outstanding Interest	3,000	23,000	Less: Provision	10,000	40,000
Bills Payable		25,000	Closing Stock		45,000
Output IGST		2,000	Bills Receivable		32,000
Salary Outstanding		1,000	Prepaid Insurance		500
Taxes Outstanding		2,000	Cash		15,000
Commission Received in Advance		1,000

		23,06,800			1,80,000

Adjustments in Preparation of Financial Statements Exercise 19.74

Solution PQ 14

Trading Account for the year ended March 31, 2019
Dr.						Cr.
Particulars			Amount Rs.	Particulars		Amount Rs.
Opening Stock			70,000	Sales	4,00,000
Purchases	2,60,000			Less: Returns	8,000	3,92,000
Less: Machinery	10,000			Closing Stock		35,000
Less: Returns	7,000		2,43,000
Carriage			5,000
Wages		50,000
Add: Outstanding		6,000	56,000
Gross Profit			53,000
			4,27,000			4,27,000

Profit and Loss Account for the year ended March 31, 2019
Dr.							Cr.
Particulars				Amount Rs.	Particulars		Amount Rs.
Interest on Bank Loan		12,000			Gross Profit		53,000
Add: Outstanding		3,000		15,000	Discount Received		6,000
Salaries	45,000				Old Provision for DD	13,000
Add: Outstanding	5,000			50,000	Less: Provision for DD	4,800	8,200
Discount Allowed				7,000	Net Loss		81,500
Further Bad Debts				2,000
Commission				15,000
Advertisement				15,000
Rent and Taxes				13,000
Depreciation on:
Land and Building			2,450
Plant and Machinery			21,000
Furniture			8,250	31,700

				1,48,700			1,48,700

Balance Sheet as on March 31, 2019
Dr.					Cr.
Liabilities		Amount Rs.	Assets		Amount Rs.
Creditors		28,000	Plant and Machinery	2,05,000
Wages Outstanding		6,000	Add: Purchases	10,000
Capital	3,50,000		Less: Depreciation	21,000	1,94,000
Less: Drawings	15,000		Furniture	55,000
Less: Net Loss	81,500	2,53,500	Less: Depreciation	8,250	46,750
Outstanding Salaries		5,000	Debtors	50,000
Bank Loan	1,50,000		Less: FBD	2,000
Add: Outstanding Interest	3,000	1,53,000	Less: Provision	4,800	43,200
			Closing Stock		35,000
			Cash at Bank		20,000
			Land and Building	98,000
			Less: Depreciation	2,450	95,550
			Input SGST		3,000
			Cash in Hand		8,000

		4,45,500			4,45,500

Class 11-commerce T S GREWAL Solutions Accountancy Chapter 19: Adjustments in Preparation of Financial Statements

Adjustments in Preparation of Financial Statements Exercise 19.64

Solution PQ 1

Adjustments in Preparation of Financial Statements Exercise 19.65

Solution PQ 2

Solution PQ 3

Adjustments in Preparation of Financial Statements Exercise 19.66

Solution PQ 4

Solution PQ 5

Adjustments in Preparation of Financial Statements Exercise 19.67

Solution PQ 6

Adjustments in Preparation of Financial Statements Exercise 19.68

Solution PQ 7

Solution PQ 8

Adjustments in Preparation of Financial Statements Exercise 19.69

Solution PQ 9

Adjustments in Preparation of Financial Statements Exercise 19.70

Solution PQ 10

Adjustments in Preparation of Financial Statements Exercise 19.71

Solution PQ 11

Adjustments in Preparation of Financial Statements Exercise 19.72

Solution PQ 12

Adjustments in Preparation of Financial Statements Exercise 19.73

Solution PQ 13

Adjustments in Preparation of Financial Statements Exercise 19.74

Solution PQ 14

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Class 11-commerce T S GREWAL Solutions Accountancy Chapter 19: Adjustments in Preparation of Financial Statements

Adjustments in Preparation of Financial Statements Exercise 19.64

Solution PQ 1

Adjustments in Preparation of Financial Statements Exercise 19.65

Solution PQ 2

Solution PQ 3

Adjustments in Preparation of Financial Statements Exercise 19.66

Solution PQ 4

Solution PQ 5

Adjustments in Preparation of Financial Statements Exercise 19.67

Solution PQ 6

Adjustments in Preparation of Financial Statements Exercise 19.68

Solution PQ 7

Solution PQ 8

Adjustments in Preparation of Financial Statements Exercise 19.69

Solution PQ 9

Adjustments in Preparation of Financial Statements Exercise 19.70

Solution PQ 10

Adjustments in Preparation of Financial Statements Exercise 19.71

Solution PQ 11

Adjustments in Preparation of Financial Statements Exercise 19.72

Solution PQ 12

Adjustments in Preparation of Financial Statements Exercise 19.73

Solution PQ 13

Adjustments in Preparation of Financial Statements Exercise 19.74

Solution PQ 14

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