Page 86 - DMGT403_ACCOUNTING_FOR_MANAGERS

Unit 4: Final Accounts

Solution: Notes
Trading and Profit and Loss Account
for the year ended 31 December 2009
st
Particulars Particulars
To opening stock 7,300 By Sales 88,200
To Purchases 32,400 (–) Returns 2,300 85,900
(–) Returns 2,150 30,250 By Closing stock 5,100

To Carriage inwards 1,500
To Water & gas 3,400
To Wages & salaries 2,500
(+) Outstanding 700 3,200
To Lighting & heating 800
To Gross profit c/d 44,550
91,000 91,000
By Gross Profit b/d 44,550
By Interest earned 390
To Rent 900 (+) Interest earned
(+) Outstanding 300 1,200 but not received 100 490
To Electricity 1,300
To Postage 200
To Printing charges 700
(–) Prepaid 200 500
To Legal charges 480
To Depreciation on
Buildings 700
Machinery 3,000
Furniture 1,910 5,610
To Net Profit
(Transferred to capital a/c) 35,750
45,040 45,040

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