Question

Prepare Trading and Profit and Loss account from the following particulars of M/s Neema Traders as on March 31, 2011.
$\begin{array}{cccc}\text{Account Title}& \text{Amt. (Dr)}& \text{Account Title}& \text{Amt. (Cr)}\\ \text{Buildings}& 23,000& \text{Sales}& 1,80,000\\ \text{Plant}& 16,930& \text{Loan}& 8,000\\ \text{Carriage Inwards}& 1,000& \text{Bills Payable}& 2,520\\ \text{Wages}& 3,300& \text{Bank Overdraft}& 4,720\\ \text{Purchase}& 1,64,000& \text{Creditors}& 8,000\\ \text{Sales Return}& 1,820& \text{Capital}& 2,36,000\\ \text{Opening Stock}& 9,000& \text{Purchase Return}& 1,910\\ \text{Machinery}& 2,10,940& & \\ \text{Insurance}& 1,610& & \\ \text{Interest}& 1,100& & \\ \text{Bad Debts}& 250& & \\ \text{Postage}& 300& & \\ \text{Discount}& 1,000& & \\ \text{Salaries}& 3,000& & \\ \text{Debtors}& 3,900& & \end{array}$

Stock on March 31, 2011 Rs. 16,000

Answer 1

Trading and Profit and Loss Account
as on 31st March, 2011
$\begin{array}{cccc}\text{Particulars}& \text{Amt. (Rs.)}& \text{Particulars}& \text{Amt. (Rs.)}\\ \text{Opening Stock}& 9,000& \text{Sales}1,80,000& \\ \text{Purchase}1,64,000& & \text{(-)Sales Return}\underset{–}{1,820}& 1,78,180\\ \text{(-)Purchase return}\underset{–}{1,910}& 1,62,090& \text{Closing Stock}& 16,000\\ \text{Carriage Inwards}& 1,000& & \\ \text{Wages}& 3,300& & \\ \text{Gross Profit c/d}& \underset{–}{18,790}& & \underset{–}{}\\ & \underset{–}{\underset{–}{1,94,180}}& & \underset{–}{\underset{–}{1,94,180}}\\ \text{Salaries}& 3,000& \text{Gross Profit b/d}& 18,790\\ \text{Insurance}& 1,610& & \\ \text{Interest}& 1,100& & \\ \text{Bad Debts}& 250& & \\ \text{Postage}& 300& & \\ \text{Discount}& 1,000& & \\ \text{Net Profit}& \underset{–}{11,530}& & \underset{–}{}\\ & \underset{–}{\underset{–}{18,790}}& & \underset{–}{\underset{–}{18,790}}\end{array}$

Balance Sheet
as on 31st March, 2011
$\begin{array}{cccc}\text{Capital and Liabilities}& \text{Amt. (Rs.)}& \text{Assets}& \text{Amt. (Rs.)}\\ \text{Capital}2,36,000& & \text{Buildings}& 23,000\\ \text{(+)Net Profit}\underset{–}{11,530}& 2,47,530& \text{Plant}& 16,930\\ & & \text{Machinery}& 2,10,940\\ \text{Creditors}& 8,000& \text{Debtors}& 3,900\\ \text{Loan}& 8,000& \text{Closing Stock}& 16,000\\ \text{Bills Payable}& 2,520& & \\ \text{Bank Overdraft}& \underset{–}{4,720}& & \underset{–}{}\\ & \underset{–}{\underset{–}{2,70,770}}& & \underset{–}{\underset{–}{2,70,770}}\\ & & & \end{array}$