Illustration

8. The following are the balance extracted from the books of Ramakrishna on 31st December 1984
Prepare a Trial Balance.
8.SOLUTION
Rs.
Ramakrishna Capital
15000
Drawings
2500
Furniture & Fixtures
1300
Bank Overdraft
2100
sundry Creditors
5500
Busnies Premises
10000
Stock (January1,1984)
11000
Sundry Debtors
9000
Rent from tenants
500
Purchases
55000
sales
75000
Return Inwards
1000
Discounts (Dr)
800
Discounts (Cr)
1000
Taxes
1000
Salaries
4500
General Expenses
2000
Commission
1100
Commission Purchases
900
Reserve for bad and doubtful debts
1000
100100
100100

Illustration

9. Prepare a Traial Balance with the following details as on 31.3.1985

Capital
Trade Creditors
Bills payable
General Reserve
Provision for bad debt
Bank Loan
Sales
Discount allowed
Stock 1.04.1984
Audit Fees

Rs.
50000
10000
1000
5000
1000
450
75000
750
15000
2000

Plant & Machinery

Book Debts
Bank Balance
Investmentss (4%)
Bills Receivable
Wages & Salaries
Repairs & Renewals
Interest Paid
Bad Debts Recovered
Office Expenses

Purchases
Buildings

48000
10000

Discount Received

Illustration

10. From the following balances of ledger A/cs Prepare Trial Balance of Mr.Narayana as at 31st
March 1978.
10.SOLUTION
Capital
Trade Discounts
Returns to Creditors
General Reserve
Provision for bad debts
Narayana's current A/c (Cr.)
Sales
Discount allowed
Stock 1-4-77
Audit Fees
Returns from Customers
suspense A/c (Dr)
Purchases
Expense payable
Good will
Plant & Machinery
Book debts
Investments
Patents
Wages & Salaries
Repairs & Renewals
Prepaid expenses
Bad debts recovered
Bank Balance
4. question

From the following balances extracted from the books of sasibhushan prepare final accounts for the
year ended 31st December 1973.
Rs.
Cash on hand
1000
Capital
100000
Purchases
120000
Bills payable
22000
Opening stock (1.1.1973)
35000
Sundry debtors
50000
sundry creditors
24000
Wages
16000
Machinery
60000
Sales
200000

Fixtures and fittings

Bad debts reserve
Bills receivable
Rent and taxes
Salaries

15000
1000
20000
10000
20000

5. question
From the following balances extracted from the books of Sarma prepare Trading and Profit and
Loss account for the year ended 31st December 1975 and a Balance sheet as on the date after
taking into consideration, the adjustments given below:
Trail balance as on 31.12.1975

Drawings and Capital

Purchase and sales
Returns
Sundry Debtors and creditors
Stock (1.1.1975)
Bad debts
Bills receivable and payable
Cash on hand
Office expenses
Sales Van expenses
Sales Van
Discount reced
Rent & Taxes
Telephone charges
Postage and Telegrams
Furniture
Printing & stationery
Commission
Carrige inwards
Salaries and wages
Total:

Rs.
Dr.
7500
72100
1300
18200
19800
3000
12000
300
6210
1400
15000

Rs.
Cr.
50000
95000
2700
35750

23000

2910
10700
1050
950
5000
2750
8400
3200
20500
209360

209360

Adjustments:

1.
2.
3.
4.
5.
6.

Closing stock was valued at Rs.61700

Depreciation on furniture at 10% and Sales Van at 20%
Outstanding Rent amounted to Rs.900
Bad debts Rs.200
Make a provision for bad and doubtful debts 5% on debtors.
Charge 1/4 of salaries and wages to Trading a/c.

hna on 31st December 1984.

9 SOLUTION
Capital
Trade Creditors
Bills payable
General Reserve
Provision for bad debts
Bank Loan
Sales
Discount allowed
Stock 1.04.1984
Audit Fees
Purchases
Buildings
Plant & Machinery
Book Debts
Bank Balance
Investmentss (4%)
Bills Receivable
Wages & Salaries
Repairs & Renewals
Interest Paid
Bad Debts Recovered
Office Expenses
Discount Received
Suspense account

Rs.
15000
16400
3400
10000
2500
13000
1800
700
200
2000

50000
10000
1000
5000
1000
450
75000
750
15000
2000
48000
10000
15000
16400
3400
10000
2500
13000
1800
700
200
2000
400
500
142050

142050

400

Mr.Narayana as at 31st

Rs.
50000
10000
1000
5000
1000
450
75000
750
15000
2000
2000
2500
48000
400
10000
15000
16400
10000
2500
13000
1800
700
200
3400
143050

143050

prepare final accounts for the

The following adjustments are to be made:

A) Outstanding wages
Rs.200
Outstanding wages
Rs.300
Outstanding salaries
Rs.4000
B) Closing stock
Rs.40000
C) Depreciate machinery by 5%; Furniture by 10%
D) Bad debts reserve is tobe maintained at 2//2% on sundry debtors.
Pass necessary adjusting entreis for the above adjustments.

re Trading and Profit and

heet as on the date after

ndry debtors.

4.SOLUTIO From the following balances extracted from the books of sasibhushan prepare final acco
year ended 31st December 1973.
TRIAL BALANCE
Rs.
Cash on hand
1000
Capital
100000
Purchases
120000
Bills payable
22000
Opening stock (1.1.1973)
35000
Sundry debtors
50000
sundry creditors
24000
Wages
16000
Machinery
60000
Sales
200000
Fixtures and fittings
15000
Bad debts reserve
1000
Bills receivable
20000
Rent and taxes
10000
Salaries
20000
347000
347000

Trading a/c
dr
to purchases
wages
opening stock
TOGROSS PROFIT

dr
fixt and fiit
rent taxes
salaries
machinery
net profit

cr
120000 by sales
16500 closing stock
35000
68500
240000
profit & loss a/c
cr
15000 by trading a/c
10000
24000
3000
16500
68500

200000
40000

240000

68500

68500

sibhushan prepare final accounts for the

The following adjustments are to be made:

A) Outstanding wages
Rs.200
Outstanding wages
Rs.300
Outstanding salaries
Rs.4000
B) Closing stock
Rs.40000
C) Depreciate machinery by 5%; Furniture by 10%
D) Bad debts reserve is tobe maintained at 2//2% on sundry debtors.
Pass necessary adjusting entreis for the above adjustments.

Capital

BALANCE SHEET
100000 cash on hand
1000
22000
50000
24000
57000
1000
20000
16500
40000
4000
500
168000
168000

From the following balances extracted from the books of Sarma prepare Trading and Profit and
Loss account for the year ended 31st December 1975 and a Balance sheet as on the date after
taking into consideration, the adjustments given below:
Trail balance as on 31.12.1975

Drawings and Capital

Purchase and sales
Returns
Sundry Debtors and creditors
Stock (1.1.1975)
Bad debts
Bills receivable and payable
Cash on hand
Office expenses
Sales Van expenses
Sales Van
Discount reced
Rent & Taxes
Telephone charges
Postage and Telegrams
Furniture
Printing & stationery
Commission
Carrige inwards
Salaries and wages
Total:

Rs.
Dr.
7500
72100
1300
18200
19800
3000
12000
300
6210
1400
15000

Rs.
Cr.
50000
95000
2700
35750

23000

2910
10700
1050
950
5000
2750
8400
3200
20500
209360

209360

Adjustments:

1.
2.
3.
4.
5.
6.

Closing stock was valued at Rs.61700

Depreciation on furniture at 10% and Sales Van at 20%
Outstanding Rent amounted to Rs.900
Bad debts Rs.200
Make a provision for bad and doubtful debts 5% on debtors.
Charge 1/4 of salaries and wages to Trading a/c.

ng and Profit and

on the date after

dr
purchases
stock
wages salaries
GROSS PROFIT

office expenses
sv expenses
rent tax
tel
post telegram
print stationery
commision
ci
sal wages
furniture dep
van deprcn
bad debt
provision for bad doubtful debts
net profit

Trading a/c
cr
69400 sales
19800 closing sto
5125
61075
155400
p&l a/c
6210
1400
11600
1050
950
2750
8400
3200
15375
500
3000
3200
910
5440
63985

93700
61700

155400

discount rc
gp

2910
61075

63985

BALANCE SHEET
LIABILITIES
Capital

NET PROFIT

ASSETS
42500
18200
35750
12000
900
300
23000
12000
200
4500
910
61700
5440
108700
108700