CHAPTER 21 : FINANCIAL STATEMENTS

 

HELLO BOYS,

PRACTICE QUESTIONS FROM FINANCIAL STATEMENTS

Question 1:

Prepare a Trading Account from the following particulars for the year ended 31st March 2017:-
 

Particulars			(₹)	Particulars	(₹)
Opening Stock			2,50,000	Purchases Returns	22,000
Purchases			7,00,000	Sales Return	36,000
Sales			18,00,000	Gas, Fuel and Power	75,000
Wages			2,06,000	Dock Charges	8,000
Carriage Inward			34,000	Factory Lighting	96,000
Carriage Outward			20,000	Office Lighting	5,000
Manufacturing Expenses			2,48,000

Closing Stock is valued at ₹ 6,00,000.

ANSWER:

Trading Account  for the year ended March 31,2017
Dr.							Cr.
Particulars			Amount (Rs)	Particulars		Amount (Rs)
Opening Stock			2,50,000	Sales	18,00,000
Purchases		7,00,000		Less: Sales Returns	36,000	17,64,000
Less: Purchases Returns		22,000	6,78,000	Closing Stock		6,00,000
Carriage Inward			34,000
Wages			2,06,000
Custom Duty			15,000
Gas, Fuel & Power			60,000
Dock Charges			8,000
Manufacturing Expenses			2,48,000
Factory Lighting			96,000
Gross Profit (Balancing Figure)			7,69,000
			23,64,000			23,64,000

Question 2(A):

From the following information, prepare the Trading Account for the year ended 31st March, 2017:
Adjusted Purchases ₹ 15,00,000; Sales ₹ 21,40,000; Returns Inwards ₹ 40,000; Freight and Packing ₹ 15,000; Packing Expenses on Sales ₹ 20,000; Depreciation ₹ 36,000; Factory Expenses ₹ 60,000; Closing Stock ₹ 1,20,000.

ANSWER:

Trading Account  for the year ended March 31, 2017
Dr.						Cr.
Particulars		Amount (Rs)	Particulars		Amount (Rs)
Adjusted  Purchases		15,00,000	Sales	21,40,000
Freight & Packing		15,000	Less: Return Inwards	40,000	21,00,000
Factory Expenses		60,000
Gross Profit (Balancing Figure)		5,25,000
		21,00,000			21,00,000

Note: Closing Stock will not be shown on the Credit side of Trading Account since it has already been adjusted while calculating adjusted purchases.

Adjusted Purchases = Opening Stock + Net Purchases – Closing Stock

Question 2(B):

Calculate Gross Profit from the following information:

	₹
Closing Stock	70,000
Wages	40,000
Salary	30,000
Sales	6,88,000
Adjusted Purchase	5,50,000

ANSWER:

Financial Statement of….
Trading Account  for the year ended …
Dr.					Cr.
Particulars		Amount (Rs)	Particulars	Amount (Rs)
Adjusted Purchase		5,50,000	Sales	6,88,000
Wages		40,000
Gross Profit (Balancing Figure)		98,000
		6,88,000		6,88,000

Note:

As adjusted purchases is given, it means opening and closing stock are already adjusted. So, these two stocks will not be considered while calculating Gross Profit.

Question 3(A):

Calculate cost of goods sold from the following:

	₹		₹
Opening Stock	40,000	Wages & Salaries	10,000
Net Purchases	50,000	Rent Paid	15,000
Net Sales	1,90,000	Closing Stock	15,000

ANSWER:

Cost of Goods Sold = Opening Stock + Purchases + Direct Expenses – Closing Stock

Cost of Goods Sold = 40,000 + 50,000 + 10,000 – 15,000 = ₹ 85,000

Question 3(B):

Ascertain cost of Goods Sold and Gross Profit from the following:

	₹
Opening Stock	32,000
Purchases	2,80,000
Direct Expenses	20,000
Indirect Expenses	45,000
Closing Stock	50,000
Sales	4,00,000
Sales Returns	8,000

ANSWER:

Question 4:

Calculate Gross Profit on the basis of the following information:

	₹
Purchases	6,80,000
Return Outwards	30,000
Carriage Inwards	20,000
Carriage Outwards	15,000
Wages	50,000

3/4 of the goods are sold for ₹ 6,00,000.

ANSWER:

Question 5(A):

Calculate Closing Stock and Cost of Goods Sold:
Opening Stock ₹ 5,000; Sales ₹ 16,000; Carriage Inwards ₹ 1,000; Sales Returns ₹ 1,000; Gross Profit ₹ 6,000; Purchase ₹ 10,000; Purchase Returns ₹ 900.

ANSWER:

Page No 21.39:

Question 5(B):

Calculate Closing Stock from the following:

Particulars			(₹)	Particulars	(₹)
Opening Stock			38,000	Sales	3,60,000
Purchases			3,40,000	Return Inwards	5,000
Return Outwards			4,000	Gross Loss	20,000
Freight Inwards			26,000

ANSWER: