, , Purchase and Sales , , , Salary and Commission , , Carriage , Plant and Machinery , , , Insurnace premium , Interest , Bank overdraft , Rent and Taxes , , Returns , , Carriage outwards , Debtors and Creditors , , General expenses , Octroi Investment , , , , , Closing stock was valued Rs. , . (a) Interest on capital @ %. (b) Interest on drawings @ %.
(c) Wages outstanding Rs. . (d) Outstanding salary Rs. .
(e) Provide a depreciation @ % on plant and machinery. (f) Make a % provision on debtors. ( Ans. : Gross profit Rs.
, ; Net loss Rs. , ; Total balance sheet Rs. , , ) . The following balances appeared in the trial balance of M/s Kapil Traders as on March , Sundry debtors , Provision for doubtful debts The partners of the firm agreed to records the following adjustments in the books of the Firm: Further bad debts Rs.
. Maintain provision for bad debts %. Show the following adjustments in the bad debts account, provision account, debtors account, profit and loss account and balance sheet. ( Ans ; Dr.
Profit and Loss account Rs. , ) . Prepare the bad debts account, provision for account, profit and loss account and balance sheet from the following information as on March , , Provision for doubtful debts Adjustments : Bad debts Rs. Provision on debtors @ %.
( Ans : Credit Profit and Loss account Rs. ) Checklist to Test Your Understanding . (c), . (d), .