From the following balances, prepare Trading, Profit and Loss A/c and a Balance Sheet as at 31st March, 2023 Opening Stock ₹ 20,000 Purchases ₹ 2,92,000
From the following balances, prepare Trading, Profit and Loss A/c and a Balance Sheet as at 31st March, 2023:-
Take the following adjustments into account:
(a) General expenses include ₹ 5,000 chargeable to Furniture purchased on 1st October 2022.
(b) Create a provision of 5% on debtors for Bad and Doubtful Debts after treating ₹ 30,000 as a Bad-debt.
(c) Depreciation on Furniture and Fittings for the year is to be at the rate of 10% per annum.
(d) Closing Stock was ₹ 40,000, but there was a loss by fire on 20th March to the extent of ₹ 8,000. Insurance Company admitted the claim in full.
(d) (I) Goods costing ₹ 2,500 were used by the proprietor.
(II) Goods costing ₹ 1,500 were distributed as free samples.
Goods were purchased paying CGST and SGST @ 6% each.
[Ans. G.P. ₹ 2,80,000; N.P. ₹ 1,00,370; B/s Total ₹ 3,34,470.]
| Particulars | ₹ | Particulars | ₹ |
| Opening Stock | 20,000 | Goodwill | 16,000 |
| Purchases | 2,92,000 | Furniture and Fittings | 58,000 |
| Fuel and Power | 34,000 | Repair Charges | 2,900 |
| Capital | 1,60,000 | Bank | 18,000 |
| Sales | 5,90,000 | Salaries | 1,10,000 |
| Rent | 10,000 | General Expenses | 18,000 |
| Returns Inwards | 16,000 | Debtors | 2,30,000 |
| Cash Discount allowed | 15,000 | Creditors | 1,35,000 |
| Cash Discount received | 19,000 | Output CGST | 5,000 |
| Drawings | 58,100 | Output SGST | 5,000 |
| Input CGST | 8,000 | ||
| Input SGST | 8,000 |
Anurag Pathak Answered question
Solution:-
Hints:
(1) Depreciation on Furniture will be calculated as follows:- on ₹ 58,000 for one year, and on ₹ 5,000 for six moths.
(2) GST will be calculated on Loss by Fire, goods used by Proprietor and goods distributed as free samples.
(3) Net amount of Input CGST and Input SGST shown on assets side ₹ 2,280 each.
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