Computerised Accounting System — Account STD 11 Commerce — Question

On 31st March, 2017 the following Trial Balance was extracted from the books of Sh. Ghanshyam Das:

Prepare Trading and Profit & Loss Account for the year ended 31st March, 2017 and Balance Sheet as at that date, after making adjustments for the following matters:

1. Depreciate Land and Building at 2.5% and Motor Vehicles at 20%.
2. Interest on Loan at 15% p.a. is unpaid for six months.
3. Ghanshyam Das withdrew ₹ 2,000 for his private use. This amount was included in general expenses.
4. Interest on Investments is receivable for full year @ 10%.
5. Provide for Manager's Commission at 10% on Net Profit after charging such commission.
6. Stock in hand on 31st March, 2017 was valued at ₹ 25,000 (Realisable value ₹ 22,000).

Distinguish between the Straight Line Method and Written Down Value Method of providing Depreciation.

From the following balances, prepare Final Accounts of Mr. Bal Gopal:

Adjustments:

1. Stock on 31st March, 2018 was ₹ 10,000 and stationery unused at the end was ₹ 400.
2. Rent of Premises Sublet received in advance ₹ 100.
3. Provision for Doubtful Debts is to be created @ 10% on Debtors.
4. Provision for discount on Debtors is to be created @ 2%.
5. Stock of the Value of ₹ 4,000 was destroyed by fire on 25th March, 2018. Stock was purchased paying IGST @ 12%. A Claim of ₹ 3,000 has been admitted by Insurance Co.
6. Bank Loan has been taken at 12% p.a. interest.

State the meaning of incomplete records?

From the following balances, prepare Trading, Profit and Loss A/c and a Balance Sheet as at 31st March 2018:

Take the following adjustments into account:

1. General expenses include ₹ 5,000 chargeable to Furniture purchased on 1st October 2017.
2. Create a provision of 5% on debtors for Bad and Doubtful Debts after treating ₹ 30,000 as a Bad-debt.
3. Depreciation on Furniture and Fittings for the year is to be at the rate of 10% per annum.
4. Closing Stock was ₹ 40,000, but there was a loss by fire on 20th March to the extent of ₹ 8,000. Insurance Company admitted the claim in full.
5.  

1. Goods costing ₹ 2,500 were used by the proprietor.
2. Goods costing ₹ 1,500 were distributed as free samples.

Goods were purchased paying CGST and SGST @ 6% each.

Correct the following errors in Mohan Lal’s Book:

1. A payment of ₹ 5,000 for salaries (to Mr. Ram) has been posted twice to the Salaries Account.
2. ₹ 750 received from Rajesh are entered on the debit side of the Cash Book. No posting was done in Rajesh’s Account.
3. Sales Book was overcasted by ₹ 3,000.
4. Goods (Cost ₹ 2,000, Sales Price ₹ 2,500) distributed as samples among prospective customers were not recorded anywhere.
5. A sum of ₹ 1,500 written off as depreciation on furniture was not debited to Depreciation Account.

Bring out the relationship between AIS and Marketing Information System.

Prepare Trading Account from the transactions givne below:
Also pass the Journal entries.
[Hint: Depreciation is not accounted in the Trading Account.]

Complete the following Bank Reconciliation Statement: