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Question 42 Chapter No 16 – Class 11 Unimax
The following Trial Balance is extracted from the books of Nikesh as at 31st March,2020:
Trial balance
| Debit balance | ₹ | Credit balance | ₹ |
| Stock on 1.4.2019 | 50,000 | Capital | 3,20,000 |
| Furniture | 16,000 | Creditors | 80,000 |
| Building | 1,60,000 | Purchases returns | 2,000 |
| Debtors | 60,000 | Commission | 6,000 |
| Drawings | 20,000 | Sale | 4,55,600 |
| Plant and Machinery | 1,40,000 | Bad debts recovered | 1,400 |
| Wages | 24,000 | Output CGST | 5,000 |
| Salaries | 40,000 | Output SGST | 5,000 |
| Bad debts | 2,000 | ||
| Purchases | 2,40,000 | ||
| Electricity charges | 2,4000 | ||
| Telephone charges | 4,800 | ||
| General expenses | 6,000 | ||
| Postage expenses | 3,600 | ||
| Salaries returns | 1,800 | ||
| Insurance premium | 3,000 | ||
| Cash in hand | 6,400 | ||
| Cash at bank | 80,000 | ||
| Input CSGT | 7,500 | ||
| Input SGST | 7,500 | ||
| 8,75,000 | 8,75,000 |
Prepare Trading and Profit and Loss Account for the year ended 31st March,2020 and Balance Sheet as at that the after taking into account the following adjustments:
(1) Stock on 31st March 2020 ₹ 14,000.
(2) Plant and Machinery include a machine purchased for ₹ 20,000 on 1.10.2019.
(3) Outstanding liabilities for wages ₹ 1,200 and salaries ₹ 2,800. These are not subject to GST.
(4) Depreciation @ 5% p.a. is to be provided on all fixed assts.
(5) Write off bad debts ₹ 1,500.
(6) Insurance premium paid in advance ₹ 400.
(7) Accrued commission ₹ 500. CGST and SGST is levied @ 6% each.
The solution of Question 42 Chapter No 16 – Class 11 Unimax
Trading and Profit & Loss A/c of Nikesh
For the year ended 31st March, 2020
| Particulars | Amount | Particulars | Amount | ||
| To Opening stock | 50,0,00 | By sales | 4,55,600 | ||
| To purchases | 2,40,000 | Less: Returns | 1,800 | 4,53,800 | |
| Less: Returns | 2,000 | 2,38,000 | By Closing stock | 14,000 | |
| Wages | 24,000 | ||||
| Add: O/s Wages | 1,200 | 25,200 | |||
| To Gross Profit | 1,5,600 | ||||
| (transferred to P & L A/c) | |||||
| 4,67,800 | 4,67,800 | ||||
| To Salaries | 40,000 | By Gross Profit b/d | 1,54,600 | ||
| Add: Outstanding Salaries | 2,800 | 42,800 | By Commission | 6,000 | |
| To Bad debts | 2,000 | Add: Accrued Commission | 500 | 6,500 | |
| Add: Further bad debts | 1,500 | 3,500 | By bad debs Recovered | 1,400 | |
| To Electricity charges | 2,400 | ||||
| To Telephone charges | 4,800 | ||||
| To General expenses | 6,000 | ||||
| To Postage expenses | 3,600 | ||||
| To Insurance premium | 3,000 | ||||
| Less: Prepaid insurance | 400 | 2,600 | |||
| To Dep. Machinery & Plant | 6,500 | ||||
| To Dep. On Furniture | 800 | ||||
| To Dep. On Building | 8,000 | 15,300 | |||
| To Net Profit (Transferred to capital) | 81,500 | ||||
| 1,62,500 | 1,62,500 | ||||
Balance Sheet of Nikesh
AS 0n 31st March, 2020
| Liabilities | Amount | Assets | Amount | ||
| Current Liabilities | Current Assets | ||||
| Creditors | 80,000 | Cash in hand | 6,400 | ||
| Wages outstanding | 1,200 | Cash at bank | 80,000 | ||
| Salaries outstanding | 40,000 | Insurance prepaid | 400 | ||
| Capital | Accrued Commission | 560 | |||
| Opening Balance | 3,20,000 | Debtors | 60,000 | ||
| Add: Net Profit | 81,500 | Less: Bad debts | 1,500 | 58,500 | |
| 4,01,500 | Closing stock | 14,00 | |||
| Less: Drawings | 20,000 | 3,81,500 | Input CGST (7,500-5,000-30*) | 2,470 | |
| Input SGST (7,500-5,000-30*) | 2,470 | ||||
| Fixed Assets | |||||
| Plant and Machinery | 1,40,000 | ||||
| Less: Depreciation | 6,500 | 1,33,500 | |||
| Furniture | 16,000 | ||||
| Less: Depreciation | 800 | 15,200 | |||
| Building | 1,60,000 | ||||
| Less: Depreciation | 8,000 | 1,52,000 | |||
| 4,65,500 | 4,65,500 | ||||
Output CSGT on accrued commission= 6% of ₹ 500= ₹ 30;
Out put SGST on accrued commission= 6% of ₹ 500= ₹ 30.
Note: Input CGST and SGST is set off against output CGST. Similarly, input SGST is set off against output SGST.
End of Solution
Check Out the Solution of all questions for this chapter:
The solutions to all questions of Chapter 16 – Financial Statements (With Adjustments) Unimax – Class 11 are shown as follows, click on the image of the question to get the solution.
Question 2 Chapter No 16 – Class 11 Unimax
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Question 14 Chapter No 16 – Class 11 Unimax
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Question 26 Chapter No 16 – Class 11 Unimax
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Question 39 Chapter No 16 – Class 11 Unimax
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Question 51 Chapter No 16 – Class 11 Unimax
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1. Comprehensive Solutions for All Chapters of Advanced Accountancy I Class 11 by Unimax
UnimaxSolutions.in offers a comprehensive solution for students studying Advanced Accountancy I Part 1 in Class 11. With their meticulously curated study material, students can access comprehensive solutions to all the questions included within each chapter. By selecting the chapter name from the study material, students can easily navigate through the topics and find detailed explanations and step-by-step solutions to the problems presented in that section. Whether it’s understanding complex accounting concepts, mastering calculation techniques, or analyzing financial statements, Unimax provides a valuable resource to aid students in their learning journey. With these comprehensive solutions at their disposal, students can enhance their understanding, clarify doubts, and improve their problem-solving skills in Advanced Accountancy, ensuring they are well-prepared for their Class 11 examinations.
- Chapter No. 1 – Introduction of Accounting
- Chapter No. 2 – Theory Base of Accounting
- Chapter No. 3 – Vouchers and Transactions
- Chapter No. 4 – Journal
- Chapter No. 5 – Goods and Services Tax (GST): An Introduction
- Chapter No. 6 – Ledger
- Chapter No. 7 – Special Purpose Book – Cash Book
- Chapter No. 8 – Other Subsidiary Books
- Chapter No. 9 – Trial Balance
- Chapter No. 10 – Rectification of Errors
- Chapter No. 11 – Depreciation
- Chapter No. 12 – Provision and Reserves
- Chapter No. 13 – Bank Reconciliation Statement
- Chapter No. 14 – Bills of Exchange
- Chapter No. 15 – Financial Statements (Without Adjustments)
- Chapter No. 16 – Financial Statements (With Adjustments)
- Chapter No. 17 – Accounts from Incomplete Records – Single Entry System
2. Punjab School Education Board (PSEB) Solutions of Usha Publication.
If you’re a student enrolled in the Punjab School Education Board Class 11, it’s essential to explore a wide range of books to cover the syllabus thoroughly. While the prescribed textbooks are undoubtedly valuable, supplementing your studies with additional resources can enhance your understanding and knowledge. Consider checking out other books that align with the curriculum, offering different perspectives and insights on the subjects you’re studying. These supplementary materials can provide you with alternative explanations, practice questions, and examples that may aid in clarifying complex concepts. Moreover, exploring diverse sources can expose you to a variety of writing styles and viewpoints, fostering a broader understanding of the subjects. So, seize the opportunity to expand your learning by delving into other books that can complement your studies and contribute to your academic growth.
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