Ans to the question no -1

Chapter -05

DATE PARTICULAR DEBIT CREDIT

July 5 Purchase 2,000

Accounts Payable 2,000
(Being Purchase made on Account)

July 7 Freight Inward 100

Cash 100
(Being Freight paid)

July 9 Accounts Payable 150

Purchase 150
(Being Goods returned)

July 10 Accounts receivable 1200

Sales 1,200

july 10 Cost of Goods sold 1,000

Inventory 1,000
(Being Cost of Goods sold booked)

July 12 Purchase 2,200

Accounts Payable 2,200
(being goods purchased on credit)

July 14 Accounts Payable 1,850

Cash 1,813
Discount Recevied 37
(being Payment made to Summon)

July 17 Accounts Payable 100

Purchase 100
(being goods Returned)

July 20 Accounts Receivable 700

Sales 700
(being Sales made

July 20 Cost of goods sold 490

 Inventory 490
(being cost of goods sold Booked)

July 21 Accounts Payable 2,100

cash 2,058
Discount Received 42
(being payment made)

July 27 Discount allowed 50

Accounts Receivable 50
(being Discount allowed)

July 30 Cash 1,150

Accounts Receivable 1,150
(being Amount Recevied)

Working Note

1. Payment to Summon

2,000 -150 = 1,850

Discount on net amount = 1,850 x 2% = 37

Net Amount Paid = 1850 - 37 = 1,813

2. Amount paid to for purchase on july

Purchase = 2,200

Returned = 100

Net Amount = 2,100

Discount = 2,100 x 2% = 42

Net Amount = 2,100 -42 = 2058

3. Payment from Accounts Receivable

Amount Receivable = 1,200

Allowance granted = 50

Net Amount = 1,200 -50 =1,150

Note: No Payment discount will be given as payment is received after 10 days

 Ans To the question no-02

Chapter -06

Cost Of goods Available for sale

Date Expiation unit Unit cost Total cost

July 1 Opening inventory 50 100 5000
July 8 Purchase 230 76 17480
July 21 Purchase 80 110 8800
July 27 Purchase 40 100 4000
100 35280

1) Lifo Method

Ending Inventory

Date Quantity Unit Total

July 1 50 100 500

Cost of goods available for sale 35280

(-) ending Inventory 5000
Cost of goods sold 30280

Prove

Date Quantity Unit Total

July 27 40 100 4000
July 21 80 110 8800
July 8 230 76 17480
350 30280

2) Fifo Method
Date Unit Unit cost Total cost
 July 21 10 110 1100
July 21 40 100 4000
Cost of goods available for sale 35280
(-) ending Inventory 5100
Cost of goods sold 30180

Prove

Date Quantity Unit Total

July 1 50 100 5000
July8 230 76 17480
July 21 70 110 7700
350 30180

3) Average Cost Method

Unit cost = Cost of goods available for sale /total unit

=35280/400= 88.2

Ending Inventory

Unit Unit cost Total

50 88.2 4410

Cost of goods available for sale 35280

(-) ending Inventory 4410

Cost of goods sold 30870

# the highest ending inventory is in fifo method

# The highest cost at goods sold in average cost method

 Ans to the question no-03

CHAPTER 8
Abdur Company

Bank Reconciliation statement For The month of September

Account title Taka Taka

Bank Statement
Balance as per bank statement 8000
Add:
Deposit in transit 800
Mistake committed by bank 1000 1800
-Deducts Outstanding Check (500)
Adjusted Bank balance 9300

Company Books
Cash Balance According to Company 7465
Add: Proceeds of note collected by bank
Principal Plus Interest 2085
Error in recording check no. 007(950-750) 200
Error in recording cash sales 360 2645

(-) deductions
NSF Check 750
Printing Charge 60 (810)
Adjusted Book Balance 9300

#Transactions C is not Recorded in bank Reconciliation statement as it is recorded in the account

receivable account

# Transaction G is also not recorded Because it is outstanding not yet paid

 Ans to the question no-4
Chapter -09

1. Prepare the adjusting entry to record the estimated uncollectible accounts expense in

2014.

Account Titles dr cr
Bad debts Expense 7600
Allowance for doubtful accounts 7600

2) Show the balance sheet presentation of accounts receivable on December 31, 2014.

Avett Furniture’s Store

Balance sheet
Account Titles Taka taka
Accounts Receivables 130000
Less: Allowance for doubtful accounts (7000) 123000

Make the appropriate entry to record the write-off of the Ferntti account.

Account Titles Dr Taka Cr taka

Allowance for doubtful accounts 1200
Accounts Receivables 1200

Show the balance sheet presentation of accounts receivable before and after the write-off.

Account Titles Before Write off After Write Off

Accounts Receivables 160000 158800
Less: Allowance for doubtful accounts (3000) (1800)
Net Accounts Receivables 157000 157000
 Ans to the question no-5
Chapter -10

A) Depreciation is calculated considering salavage value ,then the reaming value of assest after
its useful life will be salvage value 12000

Since there is no salvage value is receivable, we need to write off the asset further depreciating it
with salvage value

Date Account Title Dr Taka Cr Taka

01-01-2010 Depreciation ---dr 12000

Machinery---------Cr 12000

ii)

Depreciation expense =(84000-12000)/4 =18000

Depreciation For half Year 9000

Value of asset on July 2009= 84000-((18000*3)+9000)

=21000

Date Account Title Dr taka Cr taka

01-07-2009 Depreciation expenses dr 9000

Accumulated depreciation -Machinery cr 9000

01-07-2009 Cash --------------------------------------Dr 15000

Loss on sale of machinery -------------Dr 6000

Machinery----------------------------------Cr 21000
 B
i)
Annual Depreciation
Straight-line method = Cost Of asset – Salvage value/ Useful years

(2820000-300000)/8

=315000

ii)

Cost of asset 2820000

usefull years 8

Depreciation rate 100%/8 Year 12.50%

Depreciation rate under DDLM 12.50*2 25%

Double Balance method

Year Balance Depreciation (25%) Book Value

1 2820000 705000 2115000
2 2115000 528750 1586250
3 1586250 396563 1189250
4 1189688 297422 892266
5 892266 223066 669199
6 669199 167300 501899
7 501899 125475 376425
8 376425 76425 300000

Depreciation in 2nd Year =528750