Page 90 - DMGT403_ACCOUNTING_FOR_MANAGERS

Particulars
Purchase
90,300
1,37,200
Sales
Return inward
2,200
40,000
Stock 1.1.96
Drawing
5,000
30,000
Building
Machinery
20,000
8,000
Furniture
Debtors Debit Credit
25,000
Wages 3,000
Carriage inwards 2,000
Rent and Rates 1,500
Unit 4: Final Accounts
Bad debts 1,000
Cash 3,500
Investment 10,000
Postages 2,500 Notes
Insurance 2,000
Return outwards 1,300
Capital 50,000
Creditors 24,000
Interest 500
Commission 3,250
Provision Bad debts 750
Bank O/d 40,000
Salaries 11,000
Total 2,57,000 2,57,000
Additional Information
(a) Value of the stock on 31.12.2010 65,000
(b) Goods worth 800 for his personal use of the proprietor.
(c) 400 of insurance paid is nothing but advance payment.
(d) Salary 1,000 for the month of December 1996 not paid i.e. outstanding
(e) Charge depreciation:
(i) Building 2% per annum

(ii) Machinery 10% per annum
(iii) Furniture 15% per annum
(f) Maintain provision for doubtful debts 5% on Sundry Debtors.
8. From the following information drawn from the books of M/s Sundaram & Co prepare
Trading, Profit & Loss account for the year ended 31st March, 2009 and Balance Sheet as on date.
Dr. Cr.
Particulars ( ) ( )
Sundaram’s Capital 1,81,000
Sundaram’s Drawings 36,000
Plant and Machinery Balance on 1 April 2008 1,20,000
st
Plant and machinery additions on 1 October, 2008 25,000
st
Opening stock 95,000
Purchases 7,82,000
Return Inwards 12,000
Sundry debtors 20,600
Furniture & Fixture 15,000
Freight duty 2,000
Rent Rate and Taxes 24,600
Printing stationery 3,800
Trade expenses 5,400
Sundry creditors 40,000
Contd...
Sales 9,80,000
Return outwards 3,000
Postage & telegram 800

Provision for bad debts LOVELY PROFESSIONAL UNIVERSITY 400 85
Discounts 1,800
Rent of the premises sub let for the year upto 30 7,200
th
September 2004
Insurance charge 2,700
Salaries & wages 31,300
Cash in hand 6,200
Cash at bank 30,500
Carriage outwards 500
Total 12,13,400 12,13,400