Page 146 - Account 10

Illustration - 5
Prepare Trading A/c and Profit and Loss A/c from the following balances.

Particulars Amount Particulars Amount
Stock at commencement 1,800 Purchase 8,000
Sales 15,000 Purchase returns 200
Sales return 100 Carriage in 150
Carriage out 50 Freight and duty etc. 120
Manufacturing wages 2,200 Coal & fuel 80
Factory expenses 450 Salary 1,700
Rent rates and insurance 600 Commission 650
Interest (Cr.) 300 Discount (Cr.) 600
Stationery 50 Trading expenses 180
Closing stock was valued at Rs. 2,000

Solution:
Trading A/c of .........
Dr. For the year ended .......... Cr.
Particulars Amount Particulars Amount
To Opening stock 1,800 By Sales 15,000
To Purchase 8,000 Less: Returns - 100 14,900
Less: Returns - 200 7,800 By Closing stock 2,000
To Carriage in 150
To Freight and duty etc. 120
To Manufacturing wages 2,200
To Coal & fuel 80
To Factory expenses 450
To Gross profit c/d 4,300
Total: 16,900 Total: 16,900

Profit and Loss A/c ..............
Dr. For the year ended .......... Cr.
Particulars Amount Particulars Amount
To Carriage out 50 By Gross profit b/d 4,300
To Salary 1,700 By Interest received 300
To Rent, rates and insurance 600 By Discount received 600
To Commission paid 650
To Stationery 50
To Trading expenses 180
To Net profit c/d 1,970
Total: 5,200 Total: 5,200

146 Aakar’s Office Practice and Accountancy - 10 Final Accounts 147