, , . Illustration From the following information supplied by Ms. Sudha, calculate the amount of ‘Net Sales’ Debtors on April , , Debtors on March , Opening balance of bills receivable as on April , , Closing balance of bills receivable as on March , , Cash received from debtors , , Cash received against bills receivable , Bad debts , Bill receivalbes (dishonoured) Cash sales , , Sales return , Total Bills Receivable Account Date Opening balance , Cash (bills honoured) , Debtors (Bills receivable ) , dishonoured Closing balance , , , Total Debtors Account Date Date Apr. Opening balance , Cash received , , (dishonoured) Sales (balancing , , Sales return , figure) Bad debts , , (transferred from bills receivable account) Mar.
Closing balance , , , , ( Working Notes ) With the preparation of total debtors account and total bills receivable account, the net sales will be computed as follows : Net Sales = Cash Sales + Credit Sales – Sales return = Rs. , , + Rs. , , – Rs. , = Rs.
, , Illustration Mr. Om Prakash did not keep his books of accounts under double entry system. From the following information available from his records, prepare profit and loss account for the year ending on March , and a balance sheet as at that date, depreciating the washing equipment @ %. Summary of Cash Receipts Payments Cash purchases , Cash sales Paid to creditors Received from debtors Sundry expenses , Cartage , Drawings , , , Other information : March , March , March , , , , , Stock of materials , Washing equipment Discount allowed during the year , Discount received during the year , Solution Books of Om Prakash Trading and Profit and Loss Account for the year ended on March , Expenses/losses Revenues/gains Opening stock Sales , Purchases , Closing stock , Cartage , Gross profit c/d , , , Sundry expenses , Gross profit b/d , , , Depreciation , Net profit (transfered to , capital account) ,