Accountarncy-1
280 Losa
a n d Profit
and
Mustration 8
Balance,
prepare
a
Trading
entries.
Account fon
Trial closing
following
the
From the Also pass
Dec.,
2017. Dr. Cr.
ended 31st
theyear
11,800
6,000
K. Anil's Capital
Stock on 1st Jan.,
2017 100
Cash in hand 16,800
Purchases 1,100
Salaries 400
Insurance 600
Rent 400
Discount 800
Bills payable 7,500
Sundry Debtors
1,900
Bank Overdraft
Carriage inwards 450
Furniture 650
Sundry Creditors 1,500
Trade expenses 1,000
Returns inwards
950
Machinery 2,300
Wages
Sales
9,000
29,250
Returns outwards
800
46,650
Stock on 31st Dec., 2017 46,650
was valued at 7 7,500
Solution
Dr. Trading
for
and Proflt and
Loss
ended 31lst Account
the year
Particulars Dec., 2017 C
Amount
Amount
Opening stock Particulars
Purchases
6,000 Sales
Less Returns 16,800
Carriage inwards 800 Less Returns 29,250
16,000 950
28,300
450
Closing Stock 7,500
E
281
Financial Statements
9,000
4,350 35,800
TsProñt c/d 35,800 4,350
Gross profit b/d
1,100 600
400 Rent
Tance 400
Ls:ount
1,000
Se expenses
eProit transferred 4,950
2,050
2pital account
4,950 remain in the
items still
certain
and form the
Account, business
and Loss the
Trading and Profit capital) of
the (including
preparing liabilities
and
Trial nce. They a r e
nCe.
assets
Chn
Contents of balance sheet.
Anil
Books of K.
Journal (Closing entrles) Cr.
Credit Amount
Debit Amount
L.F
Date Particulars
33,200 6,000
16,800
t r a t o n2
information, prepare Profit and Loss Account for the year ending
traton.
following
the
From
December, 2012.
Gross Profit 82,000
Salaries
8,000
Rent
4,000
800
Insurance
Interest on loan 1,000
Commission received 2,000
Interest received 500
Discount received
400
Postage and telegrams
600
300
Repairs 600
Depreciation
400
Printing and stationery
PROFIT AND LOSS ACCOUNT
ution December 2012
Cr.
for the year ended 31st
Amount Particular
Amount
Pariculars b/d 82,000
8,000 Gross Profit 2,000
4,000 Commission received
500
800| Interest received 400
urance 1,000| Discount received
Test on loan
age and telegram 600
ATS 300
mg and stationery 400
1ation 600
69,200
Tofit (transferred to capital a/c) 84,900
84,900
Tating Profit (EBT) tax (EBIT).
interest and
Operating profit is the profit
before
e x p e n s e s -Non
operating
incomes.
Orumplpeeraing
profit Net profit +
Non operating
Profi
tax charged
t 3,000is40,000.
tt profit after interest charged 2,000 and Calculate operating profit.
of mach
machi is 6,000.
Ty taken a s income
wer: =
39,000
-6,000
erating
ati
profit 40,000
+2,000+3,000
capital,
taxes on
profit,
abnormal
losses etc.
incomes
rating experSes are
interest on
and
other
unusual
perating inco
ting
e s a r e profit
on
sale of a s s e t s
9.10 Accouma
lustration3
ACCount of Sumesh for tha
Profit and LosS
.
Prepare Trading
and ear ended e
particulars.
March, 2012 from the following
Particulars
Dr.
Opening stock 8,000
Rent and rates 300
Trade expenses 600
Sales returns 600
Sales 82,060
Purchases 50,000
Purchases returns 300
Carriage inwards 200
Wages 500
Discount allowed 40
Discount received
Commission 10
Salaries 2,000
Legal charges 50
Audit fee 60
Bank charges
40
Interest on investments
Repairs 260
Postage 50
Closing stock is valued at 1000
Solution
Dr. TRADING AND PROFIT AND
for the year ended LOSS ACCOUNT
31st March, 2012 3.
Particulars A
Amount Particulars
|Opening stock
Purchases 50,000
8,000 Sales 82,000
600/81,
Less: Reurn Less: Return
300
Wages 49,700 | Closing stock
Carriage inwards 500
Gross profit cld 200
24,000
82,400
ancial Statements-I
9.11
aries 2,000 Gross Profit b/d
countallowed
40 Discount received 24,000
50
LmmIssion 10 Interest on investment 260
gal charges 50
uitfee 60
akcharges 40
Jairs 260
Cland rates 300
se expenses 600
sage 50
Profit transferred to
capital A/c 20,900 24,310
24,310
alance Sheet ascertain the true position
of assets and
A prepared to particular
Balance Sheet is a statement, financialposition
ofa business
on a
Aties as an nta
Ir shows
the of Trading and
n r e n a r a t i o n
