12th accounts - solution

SHREE CLASSESBook-Keeping & Accountancy

Online Homework Solution

FINAL ACCOUNT

Problem No. 11

Following is the Trial Balance of Premlal and Sundarlal as an 31st March, 2006.

Trial Balance as on 31st March 2006

Stock on 1-4-2005 90,000 Sales 3,45,000

Purchases 2,25,000 Purchases Returns 3,000

Drawing : Premlal 33,000 Discount received 3,000

Sundarlal 30,000 Sundry Creditors 90,000

Sales Return 7,200 Capital : Premlal 1,35,000

Wages Sundarlal 1,35,000

Productive 10,500 Bank Overdraft 30,000

Unroductive 1,800

Salaries 18,600

Rent, Rates and Insurance 10,200

Bad Debts 1,200

Discount allowed 3,900

Machinery 45,000

Building 1,08,600

Sundry Debtors 1,53,000

Cash 3,000

7,41,000 7,41,000

Adjustments :-

1. Closing stock was valued on 31.03.2006 at market price < 60,000 which was 20% above its cost

price.

2. Outstanding productive wages < 600.

3. Rent, Rates and Insurance include Insurance < 1600 paid for one year ending on 30th June 2006.

4. Maintain Reserve for doubtful debts at 5% on debtors.

5. Depreciate Building by 5% and machinery at 10% p.a.

6. Goods costing < 2,500 were distributed as free samples for which no record has been made in

the books.

7. Six months interest is due on Bank overdraft at 10% p.a.

Credit Balance AmountDebit Balance Amount

A. M/S. PREMLAL & SUNDARLAL

TRADING ACCOUNT

Dr. For the year ended 31.03.2006 Cr.

Particulars Amount Amount Particulars Amount Amount

To Opening Stock 90,000 By Sales 3,45,000

To Purchases 2,25,000 Less

Less Returns 7,200 3,37,800

Returns 3,000 2,22,000 By Free Samples 2,500

To Productive wages 10,500 (goods)

Add

Outstanding 600 11,100

By Closing Stock 50,000

To Gross Profit c/d 67,200

(Bal. Fig.)

3,90,300 3,90,300

Profit & Loss Account



By Gross Profit B/d 67,200

To Unproductive wages 1,800 By Discount 3,000

To Salaries 18,600

To Rent, Rates & Insurance 10,200

Less :

Prepaid 400 9,800

To Bad Debts 1,200

Add

New Bad Debts 0

Add 1,200

New R.D.D. 7,650 8,850

To Discount 3,900

To Advertisement 2,500

(Free samples)

To Interest on Bank overdraft 1,500

To Depreciation

Building 5,430

Machinery 4,500 9,930


To Capital A/c

(Net profit)

Premlal (1) 6,660

Sundarlal (1) 6,660 13,320

70,200 70,200

M/S. PREMLAL & SUNDARLAL

Dr. Balance Sheet as on 31.03.2006 Cr.

Liabilities Amount Amount Assets Amount Amount

Capitals Machinery 45,000

Premlal 1,08,660 Less

Sundarlal 1,11,660 2,20,320 10% Depreciation 4,500 40,500

Building 1,08,600

Less

5% Depreciation 5,430 1,03,170

Creditors 90,000 Sundry Debtors 1,53,000

Bank Overdraft 30,000 Less

Add New Bad Debts 0

Interest 1,500 31,500 Less 1,53,000

Outstanding Productive wages 600 New R.D.D. 7,650 1,45,350

Cash 3,000

Closing Stock 50,000

Prepaid Insurance 400

3,42,420 3,42,420

Working Note :

Dr. Capital Account Cr.

Particulars Premlal Sundarlal Particulars Premlal Sundarlal

To Drawing A/c 33,000 30,000 To Balance B/d 1,35,000 1,35,000

To Net Profit 6,660 6,660

To Balance c/d 1,08,660 11,660

(Bal. Fig.)

1,41,660 1,41,660 1,41,660 1,41,660



FINAL ACCOUNT

Problem No. 12

Gange and Godawari are partners sharing profits and losses equally. The Trial Balance of their firmon 31st March, 2007 was as follows.


Stock (1.4.2006) 80,000 –Purchases and Sales 4,00,000 7,68,000Return Inwards 30,000 –Carriage 7,500 –Power and Fuel 40,000 –Wages 35,000 –Trade Expenses 8,000 –Debtors and Creditors 80,000 60,000Salaries 72,000 –Insurance 6,000 –Postage 3,000 –Commission 8,000 12,000Plant and Machinery 2,00,000 –Furniture 80,000 –Advertisement 15,000 –Buildings 4,00,000 –Drawing & Capital :

Ganga 8,000 2,50,000Godawari 10,000 2,50,000

12% Bank loan taken on 1.10.2006 – 1,50,000Cash in hand 7,500 –

14,90,000 14,90,000

Adjustments :-

1. Stock on 31.3.2007 was valued at Cost price < 1,00,000 and Market price < 1,20,000.2. Depreciate Plant and Machine and Buildings at 10% and 10% respectively.3. Insurance is paid for one year ending on 30.06.2007.4. Goods withdrawn by Ganga for her personal use of < 10,000 during the year were not recorded

in the books.5. Provide < 10,000 as Bad debts and Reserve for Doubtful Debts is to be maintained at 5% on

Debtors.

Name of Account Debit Credit

A. M/S. GANGA & GODAWARI

TRADING ACCOUNT





To Carriage 7,500 Returns 30,000 7,38,000

To Power & Fuel 40,000 By Ganga’s Drawing 10,000

To Wages 35,000

By Closing Stock 1,00,000

To Gross Profit c/d 2,85,500

(Bal. Fig.)

8,48,000 8,48,000




By Gross Profit B/d 2,85,500

To Trade Expenses 8,000 By Commission 12,000

To Salaries 72,000

To Insurance 6,000

Less

Prepaid 1,500 4,500

To Postage 3,000

To Commission 8,000


To Depreciation

Plant & Machinery 20,000

Building 40,000 60,000

To Bad Dents 0

Add

New Bad Debts 10,000

Add 10,000

New R.D.D. 3,500 13,500

To Interest on Bank Loan 9,000


To Capital A/c

(Net Profit)

Ganga (1) 52,250

Godawari (1) 52,250 1,04,500

2,97,500 2,97,500

M/S. GANGA & GODAWARI



Capitals Debtors 80,000

Ganga 2,84,250 Less

Godawari 2,92,250 5,76,500 New Bad Debts 10,000

Less 70,000

New R.D.D. 3,500 66,500

Plant & Machinery 2,00,000

Creditors 60,000 Less

12% Bank Loan 1,50,000 10% Depreciation 20,000 1,80,000

(Taken on 01.10.2006) Furniture 80,000

Add Buildings 4,00,000

Interest 9,000 1,59,000 Less

10% Depreciation 40,000 3,60,000

Cash 7,500

Closing Stock 1,00,000

Prepaid insurance 1,500

7,95,500 7,95,500

Working Note :


Particulars Ganga Godawari Particulars Ganga Godawari

To Drawing A/c 8,000 10,000 By Balance B/d 2,50,000 2,50,000

To Drawing A/c 10,000 – By New Profit 52,250 52,250

(Goods)

To Balance c/d 2,84,250 2,92,250

(Bal. Fig.)

3,02,250 3,02,250 3,02,250 3,02,250

1 S.Y.J.C. - B.K. & A/cy - Homework Solution



FINAL ACCOUNT

Problem No. 13

Trial Balance as on 31-12-1995.

Capital & Drawing :Parag 500 15,000

Tushar 250 10,000

Leasehold Property 20,000 –

Shop fittings 6,000 –

Purchase and Sales 47,500 75,500

Returns 1,500 1,000

Repairs and renewals 1,000 –

Opening Stock 11,000 –

5% Government bonds 6,000 –

Debtors/Creditors 17,600 12,600

Advertisements 2,700 –

Rent, Rates, Insurances 400 –

Prepaid rent 250 –

Discount – 500

Res. for Bad Debts – 400

Res. for Discount on Creditors 300 –

TOTAL 1,15,000 1,15,000

Adjustments :

1. Reserve for Bad and Doubtful debts is to be maintained at 5% on debtors, while Reserve for Discount

on Debtors and Creditors is to be made at 2% and 3% Resp.

2. Rent, Rates, Insurance includes; Insurance < 240 paid for the year ending 31st March 1996.

3. Goods supplied to Tushar were included in Debtors < 100.

4. Sales include, sale of < 6,000 on return basis for which reply is not received from customer till the

end of year. The cost of such goods is < 5,000.

5. < 700 of Advertisement as well as 1/5th of shop fittings are to be written off.

6. Stock on 31st December, 1995 < 8,000.

Name of Account Debit Credit

A. M/S. PARAG & TUSHAR

TRADING ACCOUNT



To Opening Stock 11,000 By Sales 75,500

To Purchases 47,500 Less

Less Returns 1,500

Returns 1,000 46,500 Less 74,000

Sale or Return 6,000 68,000

(S.P.)


Add

Sale or Return (C.P) 5,000 13,000


(Bal. Fig.)

81,000 81,000





To Repairs & By Discount 500

Renewals 1,000 Add

To Advertisement 2,700 New 378

Less Less 878

Prepaid 2,000 700 Old 300 578

To Rent, Rates, Insurance 400 By Interest on

Less Government Bonds 300

Prepaid 60 340

To Shop fittings written off 1,200

To Bad Debts 0

Add

New Bad Debts 0

Add

New R.D.D. 575

Less 575

Old R.D.D. 400 175

S.Y.J.C. - B.K. & A/cy - Homework Solution 2


To Discount 219

To Capital A/c

(Net profit)

Parag (1) 10,372

Tushar (1) 10,372 20,744

24,378 24,378

M/S. PARAG & TUSHAR



Capitals Leasehold Property 20,000

Parag 24,872 Shop Fittings 6,000

Tushar 20,022 44,894 Less

Written off 1,200 4,800

5% Government Bonds 6,000

Debtors 17,600


Less Tushar’s Drawing 100

Discount 378 12,222 Less 17,500

Sale or Return (S.P.) 6,000

Less 11,500

New Bad Debts 0

Less 11,500

New R.D.D. 575

Less 10,925

Discount 219 10,706

Prepaid Rent 250

Prepaid Insurance 60

Closing Stock 8,000

Add

Sale or Return (C.P.) 5,000 13,000

Prepaid Advertisement 2,000

Interest on Government

Bond 300

57,116 57,116

Working Note :


Particulars Parag Tushar Particulars Parag Tushar

To Drawing A/c 500 250 By Balance B/d 15,000 10,000

To Drawing A/c – 100 By Net Profit 10,372 10,372

(Debtors)

To Balance c/d 24,872 20,022

(Bal. Fig.)

25,372 20,372 25,372 20,372



FINAL ACCOUNT

Problem No. 14

Ashok and Tanaji are partners sharing Profits and Losses in the ratio 2:3 respectively. Their Trial

Balance on 31st March 2007 is given below.


Purchases 98,000 Capitals :Patents rights 4,000 Ashok 30,000

Building 1,00,000 Tanaji 40,000

Stock 1.4.2006 15,000 Provident Fund 7,000

Printing and Stationery 1,750 Creditors 45,000

Sundry Debtors 35,000 Bank Loan 12,000

Wages and Salaries 11,000 Sales 1,58,000

Audit Fees 700 Reserve for Doubtful Debts 250

Sundry Expenses 3,500 Purchase Returns 3,500

Furniture 8,000

10% Investments 10,000

(Purchased on 30.9.2006)

Cash 4,000

Provident Fund Contribution 800

Carriage Inwards 1,300

Trade Expenses 2,700

2,95,750 2,95,750

Adjustments :

1. Closing stock is valued at the cost of < 15,000 while its Market price is < 18,000.

2. On 31st March 2007 the Stock of Stationery was < 500.

3. Provide reserve for bad and doubtful debts at 5% on debtors.

4. Depreciate Building at 5% and Patents right at 10%.

5. Interest on Capitals is to be provided at 5% p.a..

6. Goods worth < 10,000 were destroyed by fire. The Insurance Co. admitted a claim for < 8,000.


A. M/S. ASHOK & TANAJI

TRADING ACCOUNT




To Purchases 98,000 By Loss by fire 10,000

Less (Total Loss)

Returns 3,500 94,500

To Wages & Salaries 11,000

To Carriage Inwards 1,300

To Trade Expenses 2,700



(Bal. Fig.)

1,83,000 1,83,000





To Printing & Stationery 1,750 By Interest on investment 500

Less

Stock 500 1,250

To Audit Fees 700

To Sundry Expenses 3,500

To Provident Fund

contribution 800

To Interest on Capital

Ashok 1,500

Tanaji 2,000 3,500

To Loss by fire 2,000

(Actual Loss)

To Depreciation

Patents 400

Building 5,000 5,400

(continued .....


To Bad Debts 0

Add

New Bad Debts 0

Add 0

New R.D.D. 1,750

Less 1,750

Old R.D.D. 250 1,500

To Capital A/c

(Net Profit)

Ashok (2) 16,140

Tanaji (3) 24,210 40,350

59,000 59,000

M/S. ASHOK & TANAJI



Capitals Patent’s rights 4,000

Ashok 47,640 Less

Tanaji 66,210 1,13,850 10% Depreciation 400 3,600

Building 1,00,000

Less

5% Depreciation 5,000 95,000

Provident Fund 7,000 Sundry Debtors 35,000


Bank Loan 12,000 New Bad Debts 0

Less 35,000

New R.D.D. 1,750 33,250

Furniture 8,000

10% Investment 10,000

(30.09.2006)

Cash 4,000


Stock of Stationery 500

Insurance claim 8,000


Outstanding interest on

investment 500

1,77,850 1,77,850

Working Note :


Particulars Ashok Tanaji Particulars Ashok Tanaji

By Balance B/d 30,000 40,000

By Interest on Capital 1,500 2,000

By Net Profit 16,140 24,210

To Balance c/d 47,640 66,210

47,640 66,210 47,640 66,210



FINAL ACCOUNT

Problem No. 15

Parag and Tushar were partners sharing profits and losses in the proportion 3/5 and 2/5. Interest on

capital was allowed @ 6% p.a. but interest on drawings was ignored. The following Balances of accounts

was given as on 31st December 1995.

Trial Balance as on 31-12-1995

Opening Stock 10,000 Return Outward 1,250

Sundry Debtors 14,100 Sundry Creditors 15,700

Purchases 20,000 Sales 35,000

Wages 4,250 R.D.D. 200

Salary 1,350 Capital A/c.

Office Expenses 2,023 Parag 35,000

Discount 650 Tushar 10,000

Plant and Machinery 15,000 Loan@ 9%

Return Inwards 1,750 (Taken on 1.7.1995) 2,000

Land and Building 20,000

Cash at Bank 7,327

Curr ent A/c.

Parag 2,100

Tushar 600

99,150 99,150

Adjustments :

1. Closing stock was valued at < 20,500.

2. Unpaid wages were < 750 and outstanding salary < 657.

3. Write off < 100 as Bad debts and provide 5% Reserve for doubtful debts on Sundry debtors and 2%

for discount on debtors.

4. Provide Depreciation @ 10% on Plant and Machinery.

5. Goods of < 4,000 sold on sale or return basis. Goods are sold at 25% profit on sale. Customer has not

yet taken decision.


A. M/S. PARAG & TUSHAR

TRADING ACCOUNT



To Opening Stock 10,000 By Sales 35,000


Less Returns 1,750

Returns 1,250 18,750 Less 33,250

To Wages 4,250 Sale or Return 4,000 29,250

Add (S.P.)

Unpaid 750 5,000


Add

Sale or Return 3,000 23,500

To Gorss Profit c/d 19,000 (C.P.)

(Bal. Fig.)

52,750 52,750





To Salary 1,350

Add


To Office Expenses 2,023

To Discount 650

Add

New 190 840

To Depreciation on


To Bad Debts 0

Add

New Bad Debts 100

Add 100

New R.D.D. 500

(continued .....


Less 600

Old R.D.D. 200 400

To Interest on Loan 90


Parag 2,100

Tushar 600 2,700

To Current A/c

Parag (3) 5,664

Tushar (2) 3,776 9,440

19,000 19,000

M/S. PARAG & TUSHAR



Capitals Sundry Debtors 14,100

Parag 35,000 Less

Tushar 10,000 45,000 Sale or Return (S.P.) 4,000

Current Account Less 10,100

Parag 5,664 New Bad Debts 100

Tushar 3,776 9,440 Less 10,000

Sundry Creditors 15,700 New R.D.D. 500

Loan @ 9% 2,000 Less 9,500

(Taken on 01.07.1995) Discount 190 9,310

Add Plant & Machinery 15,000

Interest 90 2,090 Less

Outstanding 10% Depreciation 1,500 13,500

Wages 750 Land & Building 20,000

Salary 657 1,407 Cash at Bank 7,327


Add


73,637 73,637

Working Note :

Dr. Curr ent Account Cr.

Particulars Parag Tushar Particulars Parag Tushar

To Balance B/d 2,100 600

By Interest on Capital 2,100 600


To Balance c/d 5,664 3,776

7,764 4,376 7,764 4,376



FINAL ACCOUNT

Problem No. 16

From the following Trial Balance of Jayshree Trader, Jalgaon, prepare Trading and Profitand Loss Account for the year ended 31.12.1982 and Balance sheet on that date :-

Trial Balance as on 31-12-1982.

Opening Stock 10,000 Bank Overdraft 35,000Purchases 60,000 Creditors 22,000Wages 7,000 Reserve for doubtful debts 700Carriage 2,500 Sales 1,20,000Salaries & wages 4,900 Capitals :-Printing 2,700 Hemant 32,000Advertisement 1,000 Shantanu 16,000Bad Debts 2,900 Curr ent A/c’s :-Discount 2,500 Hemant 3,000Debtors 16,000 Shantanu 2,000Bills Receivable 13,200Buildings 30,000Machinery 42,000Cash in Hand 5,200Motor Car 20,000Drawings :-Hemant 4,800Shantanu 6,000

2,30,700 2,30,700

Adjustments :1. Depreciate Building by 5% and Machinery by 10%.2. Outstanding expenses were :- Printing < 200, Wages < 1,200.3. Goods of < 1,000 purchased on 31st Dec., 1982, were included in closing stock but were not

recorded in purchase book.4. Cost price of closing stock was < 20,500 while its market price was < 25,000.5. Reserve for doubtful debts is to be maintained at < 800.6. Bills receivable included a dishonoured bill of < 2,200.


A. M/S. JAYASHREE TRADER

TRADING ACCOUNT




To Purchases 60,000

Add

Unrecorded 1,000 61,000

To Wages 7,000

Add

Outstanding 1,200 8,200

To Carriage 2,500


To Gorss Profit c/d 58,800

(Bal. Fig.)

1,40,500 1,40,500





To Salaries & Wages 4,900

To Printing 2,700

Add



To Bad Debts 2,900

Add

New Bad Debts 0

Add 2,900

New R.D.D. 800

Less 3,700

Old R.D.D. 700 3,000

To Discount 2,500

To Depreciation

Building 1,500

Machinery 4,200 5,700


To Current A/c

(Net Profit)

Hemant (1) 19,400

Shantanu (1) 19,400 38,800

58,800 58,800

M/S. JAYASHREE TRADERS



Capitals Debtors 16,000

Hemant 32,000 Add

Shantanu 16,000 48,000 B. R. Dishonoured 2,200

Current Account Less 18,200

Hemant 17,600 New Bad Debts 0

Shantanu 15,400 33,000 Less 18,200

Bank Overdraft 35,000 New R.D.D. 800 17,400

Creditors 22,000 Bills Receivable 13,200

Add Less

Unrecorded 1,000 23,000 Dishonoured 2,200 11,000

Outstanding Building 30,000

Printing 200 Less

Wages 1,200 1,400 5% Depreciation 1,500 28,500

Machinery 42,000

Less


Cash in hand 5,200

Motor Car 20,000


1,40,400 1,40,400

Working Note :

Dr. Curr ent Account Cr.

Particulars Hemant Shantanu Particulars Hemant Shantanu

To Drawing A/c 4,800 6,000 By Balance B/d 3,000 2,000


To Balance c/d 17,600 15,400

22,400 21,400 22,400 21,400



FINAL ACCOUNT

Problem No. 17

Following is the Trial Balance of Shirish and Girish as on 31st December, 1999 who share Profits

and Losses in the ratio of 2:1 :-

Trial Balance as on 31st December 1999.

Goodwill 20,000 15% Bank Loan 60,000

Plant & Machinery 80,000 (Taken on 1.7.1999)

Patents 10,000 Capital Accounts :-Carriage 8,600 Shirish 80,000

Postage & telegram 1,400 Girish 60,000

Power & fuel 6,000 Creditors 41,000

Debtors 24,000 Commission 800

Trade expenses 600 Sales 1,50,400

Advertisement 3,000

Furniture 14,200

Wages 28,000

Purchases 59,000

Stock 20,800

Printing & Stationery 5,200

Interest on Bank Loan 3,000

Land & Building 1,06,600

Discount 800

Cash in hand 1,000

3,92,200 3,92,200

Adjustments :1. Closing Stock on 31st December, 1999 was valued at < 24,000.

2. Depreciate Plant and Machinery at 10% and Furniture by < 800.

3. Outstanding Wages < 2,000.

4. Goods taken by Girish for his personal use < 1,000. No entry has been passed in the books.

5. Goods of < 2,000 sold on sale or return basis. The cost price of such goods is < 1,500. Customer has

not yet taken decision.


A. M/S. SHIRISH & GIRISH

TRADING ACCOUNT





To Carriage 8,600 Sale or Return (S.P) 2,000 1,48,400

To Power & Fuel 6,000 By Girish’s Drawing 1,000

To Wages 28,000

Add



Add



(Bal. Fig.)

1,74,900 1,74,900





To Postage & Telegram 1,400 By Commission 800

To Trade Expenses 600


To Printing & Stationery 5,200

To Interest on Bank Loan 3,000

Add


To Discount 800

To Depreciation


Furniture 800 8,800

To Capital A/c

(Net Profit)

Shirish (2) 18,000

Girish (1) 9,000 27,000

51,300 51,300

M/S. SHIRISH & GIRISH



Capitals Goodwill 20,000

Shirish 98,000 Plant & Machinery 80,000

Girish 68,000 1,66,000 Less


Patents 10,000

Debtors 24,000

15% Bank Loan 60,000 Less

(01.07.1999) Sale or Return (S.P.) 2,000 22,000

Add Furniture 14,200

Interest 1,500 61,500 Less

Creditors 41,000 Depreciation 800 13,400

Outstanding Wages 2,000 Land & Building 1,06,600

Cash in hand 1,000

Closing stock 24,000

Add


2,70,500 2,70,500

Working Note :


Particulars Shirish Girish Particulars Shirish Girish

To Drawing A/c – 1,000 By Balance B/d 80,000 60,000

(Goods) By Net Profit 18,000 9,000

To Balance c/d 98,000 68,000

98,000 69,000 98,000 69,000



FINAL ACCOUNT

Problem No. 18

Following is the Trial Balance of M/s. Sachin and Shrimant on 31st December, 2003. Sachin andShrimant share profits and losses in the ratio of 3:1.

Trial Balance as on 31st December 2003.

Advertisement 3,600 Sales 2,87,500for 2 years (w.e.f. 1-10-2003) Bills Payable 3,000Opening Stock 22,000 Commission 4,200Pruchases 1,62,350 Capitals :-Drawing : Sachin 2,500 Sachin 40,000Drawing : Shrimant 1800 Shrimant 20,000Wages 4,500 Creditors 21,500Salaries 11,200 Outstanding salaries 300Professional Charges 7,300 Provident fund 12,000Printing & Stationery 1,850 Interest on P.F. Investment 1,200Insurance 3,400Prepaid insurance 400Interest 6,300Debtors 48,200Cash at bank 1,01,300P.F. Investment 12,000P.F. Contribution 1,000

3,89,700 3,89,700

Adjustments :

1. Closing stock-cost price < 37,500, Market Price < 45,000.2. Interest on capital is allowed at 10% p.a. while interest on drawing is charged as Sachin <

250 and Shrimant < 180.3. Goods of < 3,000 were taken by Sachin but no entry was made in the books.4. A receipt of < 2,000 from Mr. Patil as loan is wrongly included in commission income.5. Goods of < 3,000 were sold to a customer on sale or return basis on 1st December, 2003.

The customer had not approved the goods till 31st December 2003. The cost of goods was< 2,500.


A. M/S. SACHIN & SHRIMANT

TRADING ACCOUNT





To Wages 4,500 Sale or Return (S.P.) 3,000 2,84,500

By Sachin’s Drawing 3,000


Add


To Gross Profit c/d 1,38,650

(Bal. Fig.)

3,27,500 3,27,500




By Gross Profit B/d 1,38,650

To Advertisement 3,600 By Commission 4,200

(for 2 years) Less

(w.e.f. 01.10.2003) Mr. Patil’s Loan 2,000 2,200

Less By Interest on Drawing

Prepaid 3,150 450 Sachin 250

To Salaries 11,200 Shrimant 180 430

To Professional charges 7,300

To Printing & Stationery 1,850

To Insurance 3,400

To Interest 6,300

To P. F. Contribution 1,000


Sachin 4,000

Shrimant 2,000 6,000

To Capital A/c

(Net Profit)

Sachin (3) 77,835

Shrimant (1) 25945 1,03,780

1,41,280 1,41,280

M/S. SACHIN & SHRIMANT



Capitals Prepaid Insurance 400

Sachin 1,16,085 Debtors 48,200

Shrimant 45,965 1,62,050 Less

Sale or Returns (S.P.) 3,000 45,200

Cash at Bank 1,01,300

P.F. Investment 12,000

Bills Payable 3,000 Closing Stock 37,500

Creditors 21,500 Add

Outstanding Salaries 300 Sale or Return (C.P.) 2,500 40,000

Provident Fund 12,000 Prepaid Advertisement 3,150

Add

Interest on P.F. investment 1,200 13,200

Mr. Patil’s Loan 2,000

2,02,050 2,02,050

Working Note :


Particulars Sachin Shrimant Particulars Sachin Shrimant

To Drawing A/c 2,500 1,800 By Balance B/d 40,000 20,000

To Interest on Drawing 250 180 By Interest on Capital 4,000 2,000

To Drawing A/c 3,000 – By Net Profit 77,835 25,945

(Goods)

To Balance c/d 1,16,085 45,965

1,21,835 47,945 1,21,835 47,945

12th accounts - solution

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