TRIAL BALANCE
S.no Particulars LF Debit Rs Credit
Rs
1 Cash in hand Xxx
2 Cash at bank Xxx
3 Bills receivable Xxx
4 Sundry debtors Xxx
5 Opening stock Xxx
6 All type of Assets Xxx
7 Investments Xxx
8 Goodwill Xxx
9 Drawings Xxx
10 Purchase Xxx
11 Sales Return Xxx
12 Carriage inwards Xxx
13 Carriage onwards Xxx
14 All expenses Xxx
15 Bad debts Xxx
16 Selling expenses Xxx
17 Bills receivable Xxx
18 Sales Xxx
19 Purchases Return Xxx
20 Capital Xxx
21 Bank loan Xxx
22 Sundary creditors Xxx
23 Bills payable Xxx
24 Bank overdraft Xxx
25 All type of Income and gains Xxx
26 Provision for bad debts Xxx
TOTAL XXX XXX
1. State whether the balance of each of the following accounts should be placed in the debit or the credit column of
the trial balance: 1) Sundry debtors 2) Sundry creditors 3) Cash in hand 4) Bank overdraft 5) Salary 6) Discount
allowed 7) Plant and machinery 8) Furniture
2. . From the following balances extracted from the books of Raju a trader on automobiles, prepare trial balance as
on 31st March, 2017:
Particular Amount Rs Particular Amount Rs
Cash in hand 5,500 Direct expenses 5,000
Discount received 300 Carriage outwards 3,500
Creditors 15,000 Capital 45,000
Buildings 50,000 Purchases 49,700
Opening stock 6,000 Sales 59,400
1
FINAL ACCOUNT
Trading Account
Particular Rs Rs Particular Rs Rs
To Opening stock Xxx By sales Xxx
ToPurchase Xxx Less :sales return Xxx Xxx
Less: Purchase return Xxx Xxx ------
------- By closing stock Xxx
To diercet expenses : Xxx By gross loss c/d* xxx
Carriage /fireight forward Xxxx
Wages
To cost of goods Xxx
manufacture
To gross profit c/d* Xxx
xxx
xxx xxx
1.From the following balances extracted from the books of M/s. Lavanya and sons, prepare trading account for the
year ended 31st March, 2017:
Particular Amount Rs Particular Amount Rs
Opening stock 16,500 Carriage inwards 1,200
Purchases 45,000 Wages 4,800
Sales 72,000 Fuel and power 3,200
Purchases returns 500 Closing stock 18,000
Sales returns 1,500
Profit and Loss Account
Particular Rs Rs Particular Rs Rs
To gross loss b/d* Xxx By gross Profit b/d* Xxx
To Office and By Indirect incomes:
administrative expenses: Xxx Rent earned Xxx
Salaries Xxx Discount received Xxx
Rent, rates and taxes Xxx Commission earned Xxx
Printing and stationery Xxx Xxx
Interest on drawings
Xxx Xxx
Postage Interest on investments
Xxx Xxx
Legal charges Xxx Dividend on shares Xxx
Audit fees Xxx Bad debts recovered Xxx
Establishment expenses Xxx Profit on sale of fixed
Trade expenses Xxx assets Xxx
General travelling expenses Xxx Apprenticeship premium Xxx
Lighting Xxx Miscellaneous receipts Xxx
Insurance premium By Net loss*
To Selling and (transferred to capital
distribution expenses: account)
Carriage outwards
Advertisement
Commission
Brokerage Xxx
Bad debts or provision Xxx
for bad debts Xxx
Export duty Xxx
Packing charges Xxx
Xxx
Xxx
2
To Other expenses Xxx
and losses: Xxx
Repairs
Depreciation Xxx
Interest charges Xxx
Xxx
Discount allowed
Xxx
Provision for discount
on debtors Xxx
Bank charges Xxx
Interest on capital Xxx
Donation and charity Xxx
Loss on sale of fixed
assets Xxx
Abnormal loss due to Xxx
fire, theft Xxx
etc. not covered by
insurance Xxx
Miscellaneous
expenses
xxx
To Net profit*
(transferred to capital
account)
Xxx xxx
1. From the following information, prepare profit and loss account for the year ended 31st March, 2018.
Particular Amount Rs Particular Amount Rs
Gross profit b/d 1,50,000 Advertisement
Carriage outward 25,500 expenses 3,800
Office rent 7,000 Bad debts 8,500
Office stationery 3,500 Dividend received 9,000
Distribution expenses 2,000 Discount received 4,600
Rent received 7,000
2. From the following balances obtained from the books of Mr. Ganesh, prepare trading and profit and loss
account.
Particular Amount Rs Particular Amount Rs
Stockon01.01.2017 8,000 Bad debts 1,200
Purchases for the year 22,000 Trade expenses 1,200
Sales for the year 42,000 Discount allowed 600
Expenses on purchases 2,500 Commission allowed 1,100
Financial charges paid 3,000 Selling expenses 600
Expenses on sale 1,000 Repairs on office vehicles 600
Closing stock on December 31.12.2017 was ` 4,500
3
Balance sheet of ... as on...
Liabilities Rs Rs Assets Rs Rs
Capital Xxx Investments Xxx
Add: Net profit/ Less: Current assets
Net loss Xxx Stock Xxx
Xxx Xxx
Xxx Advances given Xxx
Xxx
Less: Drawings Sundry debtors Xxx
-----------
Xxx Bills receivable Xxx
Reserves Xxx Prepaid expenses Xxx
Long term loans Accrued income Xxx
Xxx Xxx
Cash at bank
Current liabilities: -----
Xxx Cash in hand Xxx
Bank overdraft, Cash
Xxx Fictitious assets Xxx
credit
Xxx Preliminary expenses Xxx
Outstanding expenses Xxx___ Xxx
Xxx Good will
Unearned income Xxx
Lad
Short term loans from Xxx Less: Depreciation Xxx Xxx
banks Xxx Xxx Buildings ---------
Sundry creditors -------- Xxx
Less: Depreciation
Bills payable Xxx Xxx
-----------
Xxx Plant and machinery Xxx
xxx Less: Depreciation Xxx Xxx
Provisions ------
Provisionfor employee Xxx
benefits Vehicles
Xxx Xxx
Provision for tax Less: Depreciation -----
Furniture and Fittings
Less: Depreciation
Xxx Xxx
3. From the following balances of Niruban, prepare balance sheet as on 31st December, 2017.
Particualr Dr Rs Cr Rs
Plant and machinery 8,00,000
Land and building 6,00,000
Furniture 1,50,000
Cash in hand 20,000
Bank overdraft 1,80,000
Debtors and Creditors 3,20,000 2,40,000
Bills receivable &bills 1,00,000 60,000
payable 4,00,000
Closing stock 80,000
Investments (short-term) 15,00,000
Capital 1,30,000
6,20,000
Drawings
Net Profit
4
4. From the following trial balance of Sharan, prepare trading and profit and loss account for the year ending
31st December, 2017 and balance sheet as on that date. The closing stock on 31st December, 2017 was valued
at ` 2,50,000.
Particular Dr Rs Particular Cr Rs
Stock (1-1-2017) 2,00,000 Sundry creditors 12,000
Purchases 7,50,000 Purchases returns 30,000
Carriage inwards 75,000 Sales 10,20,000
Wages 3,65,000 Commission received 53,000
Salaries 1,20,000 Capital 33,00,000
Repairs 12,000
Rent and taxes 2,80.000
Cash in hand 97,000
Land 21,50,000
Drawings 1,66,000
Bank deposits 2,00,000
44,15,000 44,15,000
5. Prepare trading account from the following ledger balances presented by P. Sen as on 31st March, 2016.
Particular Rs Particular Rs
Stock (1-4-2015) 10,000 Sales 3,00,000
Purchases 1,60,000 Returns inward 16,000
Wages 30,000 Returns outward 10,000
Carriage inwards 10,000 Gas and Fuel 8,000
Freight inwards 8,000
Additional information:
(a) Stock on 31st March, 2016 ` 20,000
(b) Outstanding wages amounted to ` 4,000
(c) Gas and fuel was paid in advance for ` 1,000
6. From the following particulars presented by Thilak for the year ended 31st March,
2017, prepare profit and loss account.
Particular Amount Rs Particular Amount Rs
Gross profit 1,00,000 Interest received 6,000
Rent paid 22.000 Bad debts 3,000
Salaries 10.000 Provision for bad 4,000
Commission (Cr.) 12,000 debts (1-4-2016)
Discount received 2,000 Sundry debtors 40,000
Insurance premium paid 8,000 Buildings 80,000
Adjustments:
(a) Outstanding salaries amounted to ` 4,000
(b) Rent paid for 11 months
(c) Interest due but not received amounted to ` 2,000
(d) Prepaid insurance amounted to ` 2,000
(e) Depreciate buildings by 10%
(f) Further bad debts amounted to ` 2,000 and make a provision for bad debts @ 5% on sundry debtors
(g) Commission received in advance amounted to ` 2,000
8. Consider the following balances extracted from the books of Jain as on 31st
December, 2016. Prepare the final accounts.
5
Particular Amount Rs Particular Amount Rs
Capital 20,000 Office Salaries 6,000
Debtors 8,000 Establishment 4,500
Creditors 10,500 expenses 2,300
Purchases 60.000 Selling expenses 10,000
Sales 80.000 Furniture 2,400
Income tax of Jain paid 500 Cash at bank 600
Opening stock 12,000 Miscellaneous 4,800
receipts
Drawings
Adjustments
(a) Salaries outstanding for December, 2016 amounted to ` 600
(b) Provide depreciation on furniture @ 10% p.a.
(c) Provide interest on capital for the year @ 5% p.a.
(d) Stock on 31st December, 2016 ` 14,000
9. Edward’s books show the following balances. Prepare his trading and profit and loss
A/c for the year ended 31st December, 2016 and a balance sheet on at that date.
Particular Dr Rs Particular Cr Rs
Drawings 5,000 Capital 1,31,000
Sundry debtors 60,000 Loan at 6% p.a. 20,000
Coal, gas and water 10,500 Sales 3,56,000
Returns inward 2,500 Interest on 2,550
Purchases 2,56,500 investments 40,000
Stock on 1-1-2016 89,700 Sundry creditors
Travelling expenses 51,250
Interest on loan paid 300
Petty cash 710
4,090
Repairs
70,000
Investments
5,50,550 5,50,550
Adjustments:
(a) Closing stock was ` 1,30,000 on 31st December, 2016.
(b) Create 5% provision for bad and doubtful debts on sundry debtors
(c) Create provision at 2% for discount on debtors
(d) Interest on loan due for 9 months.
