1>From the following trial balance of Mr.

Reghu Ram prepare a Trading & P&L A/c and a Balance Sheet as on 31st March 2010. Particulars Credit(Rs) Purchases and Sales
(Tr Dr) (Tr Cr)

Debit(Rs)

15000

32100

Debtors
(Bs,Assets->CA)

20000

Interest earned
(p&l,Cr)

400

salaries
(p&l,Dr)

3000

Returns
(Tr,Dr)

1000

500

wages
(Tr,Dr)

2000

Rent
(P&L,Dr)

1500

Bad Debts Written Off

(P&L,Dr)

700

Capital 12000
(Bs,liab)

Creditors 10000
(Bs,liab)

Provision For Bad debts Drawings 2400

600

(Bs,liab)

Printing&stationery
(P&L,Dr)

800

Insurance
(P&L,Dr)

1200

Opening Stock
(Tr Dr)

5000

Office Furniture
(P&L,Dr)

3200

Accumulated depreciation 55800 55800 Adjustments: a>Depreciate office Furniture by 10% b>Make a provision for doubtful debts @5% on debtors c>Closing Stock is valued at Rs 6000 d>Stock worth Rs600 was taken for personal use e>outstanding salaries Rs300 f>Prepaid Insurance Rs200

200

SOLU:

PARTICULARS To opening Stock A/c To purchases A/c Less Returns Less goods withdrawn

AMOUNT

AMOUNT 5000

PARTICULARS By Sales Less returns

AMOUNT 32100 1000

AMOUNT

15000 500 600 13900

31100

By closing Stock To wages 2000 To P&L A/c G/P C/D 16200 37100 By Trading A/c G/P B/D 3000 300 To rent To Bad debts Written off To provision for doubtfull debts(new) Less prov for bad debts(cr) 3300 1500 700 By intrest earned

6000

37100 16200

To salaries Add O/S

400

1000 600 400

To printing&stationery To insurance Less prepaid To depriciation on F&F To net profit B/S 1200 200

800

1000 300 8600 16600 Balance Sheet of Mr,Reghu Ram as on date 31st march 2010

16600

Capital+liabilities capital A/c Add Net-profit

Amount 12000 8600 20600

Amount

Assets Fixed Assets Office Furniture Investment

Amount

Amount

3200 NIL

Less Drawings

3000 17600

Curr assets&advances Closing Stock Sr.Dr Less NPBD@5% 20000 1000 19000 300 10600 Advances Prepaid Insurance 200 6000

Term loans Current liabilities&Provision a>current liability Outstanding salary Sr.Creditors B>Provisions Accumulated Depriciation Add curr year Depriciation 200 300

NIL

500 28400 28400

2.>Preapare Trading And Profit &loss account for the year ended 31-3-2007 and Balance sheet of M/s Fy international company as on that date from the following Trial Balance Particulars Purchases (tr,dr) Goods Returned 5000 (tr,dr) Carriage Inwards (tr,dr) Salaries&Wages (P&l) Rent,Rates & Taxes (P&l) Insurance (P&l) Discount (P&l,Dr) Bank (BS,CR Assets) P&M (BS,Fixed assets) Investments (BS,Investments) F&F (BS,FA) BR 45500 5000 8000 12000 13700 800 500 2800 14000 1500 Dr(Rs) 70000 Cr(Rs)

(BS,CA) CIH (BS,CA) Sr.Expenses (p&l,Dr) Opening Stock (Tr,Dr) Sales (Tr,Cr) BP (BS,Curr Liability) Capital a/c (BS,Capital) 2,06,800 Adjustments: a)Provide outstanding Salary Rs 2,500 b)make provision for bad debts in BR by Rs 1500 c)closing stock Rs 65000 d)stock lost by fire were Rs 7000 However the insurance company settled the claim for Rs 5000 and is still receivable e)manager is entitled the commission at 10% on net profit 2,06,800 76000 15800 1,10,000 31500 500 1000

SOLU: Trading and P&L a/c of M/s FY International Company as on date 31-03-2007 Particulars To opening stock To purchases Less Returns To Carriage Inwards To p&l A/C G/P C/D 70000 5000 1500 84000 182000 182000 By TR A/c G/p B/d To salaries & Wages Add O/S Salary To Rents,Rates&Taxes To Discount To Insurance To Loss of goods Destroyed BY Fire To Pr for Bad Debts To Managers Commission To net Profit to B/s 5940 53460 84000 84000 2000 1500 14000 2500 16500 2800 800 500 84000 65000 Amount Amount 31500 Particulars By Sales By Closing Stock Add Goods Destroyed By fire 7000 72000 65000 Amount Amount 1,10,000

Balance Sheet of M/s Fy international company as on date 31-03-2007 Capital+liabilities A)Curr liabilities & Assets Bills payable O/S Managers Commission O/s Salary B)Capital a/c Opening Capital Add Net Profit 76000 53460 129460 5940 2500 15800 Amount Amount Assets A)Curr assets and Advances Bank Cash BR Less Provision for BD Closing Stock Refund By Insurance B)Investments c)Fixed assets F&F P&M 153700 5000 12000 153700 1500 44000 65000 5000 8000 45500 13700 1000 Amount Amount

3..>Following is the trial balance of Mahesh ltd,.,.as on 31st march 2008 Debit Equity Share capital (Bs) 12% pref Share capital (Bs) Reserve Fund (p&l,Liab) Buildings (Bs) 10% Debentures (Bs) Purchases & sales (Tr) P&M (Bs) Salary (P&L) Debtors & Creditors (Bs) Bills (Bs) Directors Fees (P&l) 20,000 80000 90000 2,30,000 1,75,000 60000 200000 2,50,000 600000 200000 500000 1500000 200000 Credit 300000

Bad debts (P&L) Returns (Tr) Wages (Tr) Opening stock (Tr) Profit and Loss Account on 01.04.2007 (P&l,Approp) Loose Tools (Bs) Goodwill (Bs) Discount on issue of Shares (Bs) Cash and Bank balances (Bs) 12% Investments(01.04.2007) Intrest on investments(Bs)

5000

15000

20000

15000

45000

60000

60000

80000

20000

33000

2,00,000 18000

Adjustments: a)closing stock is valued at Rs 1,40,000 b)outstanding wages Rs 2500 c)debenture intrest is outstanding for the whole year d)write off Rs 5000 further bad debts e)Buildings and P&M to be Depreciated by 5% and 10% respectively f)Transfer Rs 25000 to reserve g)the directors propse 15% dividend to equity shareholders preapare final accounts SOLU: Trading and p&l A/c of Mahesh ltd,.as on date 31st march 2008 Particulars To opening stock To purchases Less returns To wages Add outstanding To G/P Trans To P&l A/c 2,50,000 20,000 15000 2500 17500 4,32,500 7,25,000 By Tr A/c G/P B/d 4,32,500 7,25,000 BY Closing Stock 1,40,000 2,30,000 Amount Amount 45000 Particulars By sales less Returns Amount 6,00,000 15,000 5,85,000 Amount

to Salary To directors Fees To Bad Debts Add NBD To Depriciation To Building To P&m To O/S Intrest on Debentures To Net Profit P&L Appropriation 5000 5000

60,000 20,000

10,000

25000 20,000

20,000

277500 4,32,500 4,32,500

P&l Appropriation A/c

To Transfer to Reserve Fund To Propsed Preference Dividend To propsed Equity Dividend To Surplus Tansfer toB/s 45000 2,43,500 3,37500 3,37500 24000 25000 BY Balance B/d By Net Profit C/D 60,000 2,77,500

Balance Sheet of Mahesh ltd.,.as on 31st march 2008: Liabilities Amount Amount 3,00,000 2,00,000 Assets Fixed Assets: a)Building b)P&M 3,00,000 2,00,000 loose tools Good will Investments 1,50,000 25,000 1,75,000 Surplus 2,43,000 Current assets & advances: Closing Stock Sr.Dr Less NRBD Loans & advances: Secured(10% debentures) Unsecured 2,00,000 Nil BR Cash & Bank Balance Current Liabilities & Provisions: Current Liabilitiy Bills Payable S.Cr Outstanding Wages O/S Intrest On Debenture 20,000 90,000 1,75,000 2500 Miscellenous Expenses & losses 33,000 80,000 2,30,000 5000 2,25,000 1,40,000 5,00,000 2,00,000 60,000 80,000 2,00,000 Amount Amount

Share Capital Authorised 12%pref shares Issued & subscribed Called up & paid up 12%pref shares Reserves & Surplus: Reserve Add transfer

Intrest On Investments Provisions: Propesed Pref Dividend Propesed Equity dividend Provision for Depriciation: Building P&M

18,000

Discount on Issue of shares 20,000

24,000 45,000

25,000 20,000 1538000 1538000

4>Prepare Trading and Profit and loss Account For The Year Ended 31st March,2001 and Balance sheet as that date from the following trial balance of K.Rama rao. Dr.Balances Drawings (BS) Goodwill (BS) Land & Buildings (BS) P&M (BS) Loose Tools (BS) BR (BS) Stock,1st april 2000 (Tr) Purchases (Tr) Wages (Tr) Carriage Outwards (P&L) 500 20,000 2,51,000 40,000 3,000 3,000 40,000 60,000 80,000 Rs 45,000 Cr.Balances Capital (BS) BP (BS) Creditors (BS) Purchases Returns (TR) Sales (TR) 4,18,000 2,650 70,000 33,800 Rs 1,60,000

Carriage Inwards (Tr) Coal (Tr) Salaries (P&L) Rent,Rates & taxes (P&L) Discount (P&L) CAB (BS) CIH (BS) Sr.Debtors (BS) Repairs (Tr) P&S (P&L) Bad Debts (P&L) Advertisements (P&L) Sales Returns

1,000

5,800

35,000

2,800

1,500

25,000

400

45,000

1,800

500

1,200

3,500

2,000

(Tr) Furniture (BS) General expenses (P&L) Adjustments: 1)Closing Stock On 31st March,2011 Rs 35000 2)Depreciate P&M,Tools and furniture by 10% and land & Buildings by 5% 3)provide Rs 1500 for wages 4)Advertisements prepaid are Rs 500 5)provide 5% on Debtors Against Bad debts and 2% against Discount SOLU: Trading and P&L A/c of K.rama rao as on date 31st march 2001 Particulars To opening Stock To Purchases Less returns To wages Add O/S To carriage Inwards To coal To repairs To p&l A/c G/p c/d 2,51,000 2650 20,000 1,500 21,500 1000 5800 1800 1,32,550 4,51,000 By trading A/c 4,51,000 2,48,350 By closing stock 35,000 Amount Amount 40,000 Particulars By sales Less returns Amount 4,18,000 2000 4,16,000 Amount 5,250 11,200

G/p B/d To carriage outwards To salaries To rent,rates and taxes To discount+N discount 500 35,000 2800 1500+855 =2355 To P&s To advertisements Less prepaid To general expenses To depriciation: P&M Loose tools F&F Building Bad Debts Add NBD To net profit trans to B/s 1200 2250 3450 71,275 1,32,550 4000 300 1120 3000 3500 500 3000 5250 500

1,32,550

1,32,550

Balance Sheet of K.Rama Rao as on date 31st march 2001

Capital+Liabilities Current liabilities & Provisions: Sr,Cr 70,000 Amount Amount Assets CAB CIH B.R Amount Amount 25,000 400 3,000

BP O/S Wages Capital: Capital Add net profit Less drawings 1,60,000 71,275 45,000

33,800 1500

Closing stock Sr.Dr less NRBD less Discount Advances: 45,000 2250 855

35,000

41,895

1,86,275

Prepaid Advertisement

500

Investments Fixed Assets: Goodwill L&B Less depriciation P&M Less depriciation Loose tolls Less depriciation F&F Less depriciation 60,000 3000 40,000 4000 3000 300 11,200 1120

NIL

80,000

57,000

2700

10,080 2,91,575 2,91,575

5>>>The Following is the Trial balance of Sanjay Industries Ltd.as on 31st march 2002 Accounts Stock 1st April 2001 (Tr) Sales (Tr) Wages (Tr) Share Capital (Bs) (Authorised Capital 2,00,000 shares of Rs 10 each) Discount (P&L) Purchases (Tr) Carriage Inward (Tr) Purchase Returns (Tr) Patents & Trademarks (Bs) Salaries (P&l) BR(Bs) Sr,Expenses (P&L) 45,000 63,450 67,500 43,200 90,000 8,550 22,05,000 27,000 9,00,000 2,70,000 30,60,000 Rs 6,75,000 Rs

BP (BS) Rent (P&L) Debitors & Creditors (BS) P&M (BS) F&F (BS) CAB (BS) General Reserve (BS) P&L A/c ,31st march 2001 (P&L,App) Adjustments: 4,15,800 1,53,000 2,61,000 2,47,000 36,000

63,000

1,57,000

1,39,500

54,000

1)Outstanding Rent Amounted to Rs 7,200 while Outstanding salaries Rs 8,100 at the end of the year 2)Make a provision for Doubtful Debts Amounting to Rs 4,590 3)Stock on 31st march was valued at Rs 7,92,000 4)Depreciate P&M @14% and F&F @ 18% 5)Amortise patents and Trademarks @5% 6)Provide for Managerial Renumeration @10% Of the net profits before Tax @35% 7)Make a provisions for income tax @35%

8)The Board of Directors propse a dividend @10% for the Year ended 31st march 2002 after transfer to genereal reserve @5% of profit after tax Required: 1. Preapre the following statements of sanjay industries ltd a.Profit and loss account for the year ended 31st march 2002 b. Profit and loss appropriation account for the year ended 31st march 2002 c.Balance sheet as on 31st march 2002 2.Briefly comment upon the performance of the company. Trading and P&L A/c of sanjay industries Ltd,as on date 31st march 2002 Particulars To opening stock To purchases Less returns To wages To carriage To P&L G/P C/D 22,05,000 90,000 21,15,000 2,70,000 8550 7,83,450 38,52,000 By Trading A/c 38,52,000 Amount Amount 6,75,000 Particulars By sales By Closing Stock Amount Amount 30,60,000 7,92,000

G/P B/d To salaries Add O/s To rent Add o/s To Sr.Expenses To RBD To depriciation: P&M 14% F&F 18% Patents & Trademarks 5% O/S managers Renumeration IT paid at 35% N/p transfer to P&L App A/c 3,21,099 8,10,450 55,737 1,75,572 36,540 27,540 2,160 BY Discount 4,590 67,500 8,100 36,000 7,200 43,200 63,450 75,600

7,83,450

27,000

8,10,450

P&L App A/c To propesed equity Dividend To Cr,Reserve 5% To Surplus 90,000 16,553 2,74,008 3,80,561 3,80,561 By Bal B/d By N.P 54,000 3,21,061

Balance Sheet Liabilities

1.Share Capital: Authorised Issued & Subscribed Calledup & paid up 2.Reserves & surplus Reserve Add Transferred to Surplus 1,39,500 16,553 1,56,053 2,74,008 9,00,000 9,00,000

Amount

Assets
Fixed assets Patents & Trademarks P&M F&F 2.Investments CA & Advances BR Debtors 2,47,500 less RBD 4,590

Amount

43,200 2,61,000 1,53,000 NIL

45,000

2,42,910

3.Loans & Advances Secured Unsecured 4.CL & Provisions CL BP Cr O/S rent O/S Salaries O/S managers remuneration PROV Dep on P&M F&F Patents & Trademarks Prov For tax Propsed Dividend 36,540 27,540 2,160 1,78,265 90,000 19,56,103 63,000 1,57,500 7,200 8,100 55,737 NIL NIL

Cash Closing Stock

4,15,800 7,92,000

19,52,910