FINAL ACCOUNT

Q. 1 From the following balances extracted from the books of Sh. Gyan on 31st March 2021, prepare a
Trading Account, P & L A/c and a Balance Sheet.

Dr. Balances Rs. Rs.

Capital 1,28,200
Household Expenses 10,000
Sales 1,80,000
Return inwards 4,000
Return outwards 6,000
Purchases 1,50,000
Cash at Shopk 1,600
Bank Overdraft 15,000
Interest on Overdraft 1,500
Creditors 17,800
Stock at the Commencement 18,000
Freight 8,500
Rent and Taxes 7,000
Debtors 32,600
Commission 3,000 2,200
Freehold Property 30,000
Sundry Expenses 3,900
Salaries and wages 20,000
Life Insurance Premium 1,800
Insurance Premium 1,600
Motor Vehicle 39,800
Typewriter 8,000
Interest 800
Carriage inwards 2,000
Carriage outwards 800
Power 2,200
Audit Fee 1,700
Lighting 2,000
TOTAL 3,50,000 3,50,000
 
 
 
 
 
Q. 2 From the following balances of the ledger of Sh. Gurdeep Singh, prepare Trading and Profit and Loss
Account and Balance Sheet :—
 
Dr. Balances Rs. Rs.
Stock on 31-3-2020 30,000
Stock on 31-3-2021 46,200
Purchases and Sales 2,30,000 3,45,800
Returns 12,500 15,200
Commission on Purchases 1,200
Freight, octroi and carriage 26,000
Wages and Salary 10,800
Fire Insurance Premium 820
Business premises 40,000
Sundry Debtors 26,100
Sundry Creditors 26,700
Goodwill 8,000
Patents 8,400
Coal, Gas and Power 7,600
Printing and Stationery 2,100
Postage and Telegram 710
Travelling expenses 4,250
Drawings 7,200
Depreciation 1,000
General Expenses 8,350
Capital 89,760
Investments 8,000
Interest on Investments 800
Custom Duty on imported goods 4,500
Cash in hand 2,570
Banker's Account 5,200
Commission 4,600 4,400
Loan on Mortgage 30,000
Interest on Loan 3,000
B/P 2,280
B/R 4,540
Income Tax 3,000
Horses and Carts 20,300
Discount on Purchases 1,600
TOTAL 5,21,740 5,21,740
 
Q. 3 From the following balances of Sehajta Ltd. prepare Final Accounts as on 31st March, 2021 :—
Rs. Rs.
Stock on 01-4-2020 23,500 Freight In 1,100
Purchases 46,800 Freight Out 3,000
Sales 1,30,000 Rent (Factory 1/3, Office 2/3) 7,500
Productive Expenses 27,000 Legal Expenses 800
Unproductive Expenses 5,800 Miscellaneous Receipts 500
Trade Expenses 1,200 Sundry Debtors 30,000
Returns In 6,600 Sundry Creditors 12,200
Returns Out 2,800 Donation 600
Loose Tools 7,200 Bad-Debts 4,750
Trade Marks 5,000 Bad-Debts Recovered 4,000
Discount Cr. 2,100 Sales Tax Collected 3,900
Salaries 9,600 Bank Charges 2,800
Fixed Deposit with P.N.B. 10,000 Loan on Mortgage 20,000
Cash in Hand 1,300 Interest on Loan 2,400
Motor Vehicles 50,000
Leasehold Land 60,000
Capital 1,37,450
Life Insurance Premium 6,000
Q. 4 From the following Trial Balance of Gurdeep Singh as at 31st March, 2021, prepare Trading and Profit
and Loss Account and Balance Sheet:                                                        
Dr. Balances Rs. Cr. Balances Rs.
Opening Stock 15,500 Capital 60,000
Land and Building 35,000 Loan from Mrs. Gurdeep Singh @9% 30,000
Machinery 50,000 Sundry Creditors 9,600
Furniture & Fixtures 5,000 Purchase Returns 2,100
Purchases 1,06,000 Sales 2,07,300
Salaries 11,000 Discount 1,200
General Expenses 2,500
Rent 3,000
Postage and Telegrams 1,400
Stationery 1,300
Wages 26,000
Freight on Purchases 2,800
Carriage on Sales 4,000
Repairs 4,500
Sundry Debtors 30,000
Bad Debts 600
Cash in Hand 100
Cash at Bank 6,400
Sales Returns 5,100
3,10,200 3,10,200
Q. 5 The following is the Trial Balance of Mr. Gyan on 31st March 2021 :
 
Dr. Balances Rs. Rs.
Cash in Hand 540
Cash at bank 2,630
Purchases Account 40,675
Sales Account 98,780
Returns Inward Account 680
Returns Outward Account 500
Wages Account 10,480
Fuel & Power Account 4,730
Carriage on Sales Account 3,200
Carriage on Purchase Account 2,040
Stock Account (1st July, 2007) 5,760
Building Account 30,000
Freehold Land Account 10,000
Machinery Account 20,000
Patent Account 7,500
Salaries Account 15,000
General Exps. Account 3,000
Insurance Account 600
Drawings Account 5,245
Capital Account 71,000
Sundry Debtors Account 14,500
Sundry Creditors Account 6,300

TOTAL 1,76,580 1,76,580

 
 
Q. 6 The following trial balance is extracted from the books of a merchant on 31st March, 2021:
 
PARTICULARS DR. Cr.
Rs. Rs.
Furniture and Fittings 640
Motor Vehicles 6,250
Buildings 7,500
Capital Account 12,500
Bad Debts 125
Provision for Bad Debts 200
Sundry Debtors and Creditors 3,800 2,500
Stock on January 1, 2007 3,460
Purchases and Sales 5,475 15,450
Bank Overdraft 2,850
Sales and Purchases Returns 200 125
Advertising 450
Interest Account 118
Commission 375
Cash 650
Taxes and Insurance 1,250
General Expenses 782
Salaries 3,300

34,000 34,000
 
Prepare a Trading and Profit and Loss Account for the year ending 31st March, 2021 and a Balance Sheet
as on that date.
 
Q. 7 From the following Trial Balance prepared from the books of Gurdeep on 31st March, 2021, prepare
Trading and Profit and Loss Account for the year ending 31 st December, 2007 and Balance Sheet as on
that date :
 
Particulars Rs. P. Particulars Rs. P.
Gurdeep's drawings 10,550 Gurdeep's Capital 1,19,400
Bills Receivable 9,500 Loan at 6% p.a. 20,000
Plant and Machinery 28,800 Sales 3,56,430
Sundry debtors (Including Mr. Gyan Commission received 5,640
for dishonoured cheque—Rs. 1,000) 62,000 Sundry Creditors 59,630
Wages (Manufacturing) 40,970
Returns inward 2,780
Purchases 2,56,590
Rent and Taxes 5,620
Stock on 1st Jan, 2007 89,680
Salaries 11,000
Travelling expenses 1,880
Insurance 400
Cash 530
Bank 18,970
Repairs and renewals 3,370
Interest of Loan 1,000
Interest and discount 4,870
Bad debts 3,620
Fixtures and Fittings 8,970

5,61,100 5,61,100
 
Q. 8 On 31st March, 2021 the following Trail Balance was extracted from the books of Mr. Himmat Singh.
 
Particulars Rs. P. Particulars Rs. P.
Dr. Balances: Rates Taxes and Insurance 2,891
Drawings 3,000 Advertising 3,264
Sundry Debtors 20,100 General Expenses 3,489
Interest on Loan 300 Bills Receivable 6,882
Cash in Hand 2,050 Cr. Balances:
Stock on 1st April, 2020 6,839 Capital 28,000
Motor Vehicles 10,000 Sundry Creditors 10,401
Cash at Bank 3,555 Loan on Mortgage 9,500
Land & Buildings 12,000 Bad Debts Reserve 710
Bad Debts 525 Sales 1,10,243
Purchases 66,458 Purchases Returns 1,346
Sales Returns 7,821 Discounts 540
Carriage Outward 2,404 Bills Payable 2,614
Carriage Inward 2,929 Rent Received 250
Salaries 9,097
 
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2021 and Balance Sheet as on
that date, after making adjustments for the following matters:
 
Q. 9 From the following balances extracted from the books of Mr. Hardev Singh, prepare trading and profit
and loss account for the year ended 31st March, 2021 and a balance sheet on that date:
 
Purchases 71,280 Capital account 60,000
Computer at cost Creditors 13,000
(bought on 31.3.2007) 18,380 Bills Payable 10,220
Cash at Bank 4,000 Discount 22,000
Cash in Hand 2,836 Sales 60,720
Furniture and fittings at cost 1,540 Returns outwards 11,432
Rent 12,540 Rent due 320
Bills receivable 6,720
Trade Charges 920
Sundry debtors 34,156
Drawings 5,200
Discount 540
Wages 1,800
Salaries 16,780
Returns Inwards 1,000
1,77,692 1,77,692
 
Q. 10 Define accounting and explain the steps in the accounting process.
 
Mrs. Gurdeep Singh , shopkeeper had prepared the following trial balance from his ledger as on 31st March,
2021:
Particulars                                                      Dr.                    Cr.
                                                                        Rs.                     Rs.
Purchases and sales                                    6,20,000                       8,30,000
Cash in hand                                                     4,200
Cash at Bank                                                    24,000
Stock of goods on 01-04-2020                                                 1,00,000
Capital A/c                                                                                        5,77,200
Drawings                                                                      8,000
Salaries                                                                        64,000
Postage and telephones                                              23,000
Salesmens's commission                                             70,000
Insurance                                                                      18,000
Advertising                                                                   34,000
Furniture                                                                       44,000
Printing and Stationery                                                  6,000
Motor Car                                                                    96,000
Bad debts                                                                     4,000
Cash discount                                                    8,000
General expenses                                                        60,000
Carriage inwards                                                          20,000
Carriage outwards                                                        40,000
Wages                                                               40,000
Debtors and creditors                                                   2,00,000                       80,000
                                                                           14,87,200                                 14,87,200
You are required to prepare Trading and Profit & Loss Account for the year ended 31st March, 2021 and
Balance Sheet on that date.