Accounting System Using Database Management System — Account STD 11 Commerce — Question

Prepare a Trading and Profit & Loss account for the year ending March 31, 2018, from the balances extracted of M/s Rahul Sons. Also prepare a balance sheet as at that date.

Adjustments:

1. Commission received in advance ₹ 1,000.
2. Rent receivable ₹ 2,000, subject to levy of CGST and SGST @ 9% each.
3. Salary outstanding ₹ 1,000 and insurance prepaid ₹ 800.
4. Further Bad-debts ₹ 1,000 and provision for Bad-debts @ 5% on debtors and provision for discount on debtors @ 2%.
5. Closing Stock ₹ 32,000.
6. Depreciation on Building @ 6% p.a.

Trial Balance of a business as at 31st March, 2019 is given below:

Prepare Trading and Profit and Loss Account for the year ended 31st March, 2019 and Balance Sheet as at that date after taking into account the following adjustments:

1. Closing Stock was valued at ₹ 7,000.
2. Outstanding liabilities for wages were ₹ 600 and salaries ₹ 1,400.
3. Depreciation is to be provided @ 5% p.a. on fixed assets.
4. Included in Plant and Machinery is a machine purchased for ₹ 10,000 on 1st October, 2018.
5. Insurance premium paid in advance ₹ 200.

On 1st June, 2019, A sold goods to B for ₹ 250. B gave to A his acceptance payable 1 month after date. Before maturity B requests A to renew it, which A does adding ₹ 10 to the new bill for interest.
Make the necessary Journal entries to record these transactions in the books of both Aand B.

From the following Trial Balance of Mr. Ramesh, you are required to complete the missing figures of Trading Account, Profit and Loss Account and Balance Sheet for the year ending 31st March, 2019:
Adjustments:

1. Amount of Purchases includes a machine purchased on 1st October, 2018 for ₹ 4,000 and wages include ₹ 2,000 paid for its installation.
2. Provide for depreciation on Machinery @ 10%.
3. Stock on 31st March, 2019 was worth ₹ 40,925.
4. Salaries unpaid ₹ 800 and rent is paid up to 30th June, 2019.
5. Write off further bad debte ₹ 400 and create a provision of 5% debtors for doubtful debts.
6. Prepaid insurance ₹ 300.

From the following balances of the year ended 31st December, 2013 and additional information, prepare the trading and profit and loss account and the balance sheet M/s Ram Lai Sons.

Name of Accounts	Amt(Rs)	Name of Accounts	Amt(Rs)
Capital	80,000	Insurance	600
Purchases	82,000	Salaries	12,500
Sales	1,10,000	Bad Debts	200
Return Outwards	1,000	Carriage on purchases	200
Building	45,000	Commission (credit)	1,500
Opening Stock	15,000	Cash in hand	5,000
Debtors	20,100	Cash at Bank	25,000
Creditors	28,000	Sales tax paid	5,000
Furniture	7,000	Sales tax collected	3,500
Wages	1,800	Interest on investment	500
Rent	5,100

Additional Information
i. Closing stock was valued at Rs 20,000.
ii. Provide depreciation on building @ 5% and on furniture @10%.
iii. Outstanding salaries Rs 1,000.
iv. Unexpired insurance Rs 50.
v. Accrued commission Rs 300.
vi. Provide for manager's commission at 5% on net profit after charging such commission.

Briefly explain the concept of GST.

Prepare a trading and profit and loss account of M/s Green Club Ltd. for the year ending March 31, 2017. from the following figures taken from his trial balance :
Adjustments:

1. Depreciation charged on machinery @ 5% p.a.
2. Further bad debts ₹ 1,500, discount on debtors @ 5% and make a provision on debtors @ 6%.
3. Wages prepaid ₹ 1,000.
4. Interest on investment @ 5% p.a.
5. Closing stock 10,000

Give journal entries for the following adjustments in final accounts assuming CGST and SGST @ 9% each:

1. Closing Stock ₹ 80,000.
2. Outstanding salaries ₹ 21,000.
3. Insurance premium amounting to ₹ 15,000 is paid in advance.
4. ₹ 9,000 received for rent related to the next accounting period.
5. Commission accrued but not received during the accounting year ₹ 1,500.
6. Write off ₹ 500 as further bad debts.
7. Goods costing ₹ 8,000 destroyed by fire and insurance company admitted a claim for ₹ 5,000 only.
8. Goods costing ₹ 10,000 (Market value ₹ 11,000) were taken by proprietor for personal use.