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From the following Trial Balance and adjustments of M/s Apeksha and Pratiksha; you are required to prepare Trading and Profit and Loss account for the year ended 31st March 2013 and Balance sheet as on that date - Book Keeping and Accountancy

From the following Trial Balance and adjustments of M/s Apeksha and Pratiksha; you are required to prepare Trading and Profit and Loss account for the year ended 31st March 2013 and Balance sheet as on that date:

Trial Balance as on 31.03.2013

Particulars
Debit
Amount (Rs.)
Credit
Amount (Rs.)
Capital Accounts
   
Apeksha
 
60000
Pratiksha
 
35000
Purchases and Sales
46700
85000
Sundry Debtors and Creditors
28000
25000
Bills Receivable and Bills Payable.
9600
7800
Opening Stock
18000
 
Wages
9900
 
Investment
13500
 
Postage and Telegrams
3600
 
Insurance
1200
 
Plant and machinery
40700
 
Furniture
18000
 
Cash in hand
2500
 
Carriage
3200
 
Bad debts
400
 
Prepaid rent
7000
 
Salaries
10500
 
 
212800
212800
Adjustments:
(1) The closing stock is valued at Rs. 31,000
(2) Outstanding wages Rs. 1,400.
(3) Depreciate furniture at 10% p.a.
(4) Insurance Rs. 500 is paid in advance.
(5) Provide for further bad debts of Rs. 1,500.
(6) Goods worth Rs. 2,000 withdrawn by Apeksha for her domestic use but not recorded in the books of account.
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Solution

M/s Apeksha and Pratiksha
Trading A/c for the year ended 31.03.2013
 
Particulars
Amount Rs.
Amount Rs.
Particulars
Amount Rs.
Amount Rs.
To Opening Stock
 
18000
By Sales
 
85000
To Purchases
 
46700
By Drawing of Goods by Apeksha
 
2000
To Wages
9900
 
By Closing Stock
 
31000
Add: Outstanding
1400
11300
     
To Carriage
 
3200
     
To Gross Profit C/d
 
38800
     
           
   
118000
   
118000

Profit and Loss A/c for the year ended 31.03.2013

Particulars
Amount Rs.
Amount Rs.
Particulars
Amount Rs.
Amount Rs.
To Salaries
 
10500
By Gross Profit b/d
 
38800
To Postage and Telegram
 
3600
     
To Insurance
1200
       
Less: Prepaid
500
700
     
To Bad debts
400
       
Add: N.R.D.D.
1500
1900
     
To Depreciation on Furniture
 
1800
     
To Net Profit Transferred to partners’s Capital Account.
         
Apeksha Capital A/c
10150
       
Pratiksha Capital A/c
10150
20300
     
           
   
38800
   
38800

Partners’ Capital Accounts

Particulars
Apeksha
Pratiksha
Particulars
Apeksha
Pratiksha
To Drawings
2000
-
By Balance b/d
60000
35000
To Balance c/d
68150
45150
By Profit & Loss Account. [Net Profit]
10150
10150
           
 
70150
45150
 
70150
45150

Balance Sheet as on 31.03.2013

Liabilities
Amount Rs.
Amount Rs.
Assets
Amount Rs.
Amount Rs.
Capital :
   
Plant and Machinery
 
40700
Apeksha
68150
 
Furniture
18000
 
Pratiksha
45150
113300
Less: Depreciation
1800
16200
Sundry Creditors
 
25000
Investment
 
13500
Bills Payable
 
7800
Bills Receivable
 
9600
Outstanding Wages
 
1400
Sundry Debtors
28000
 
     
Less: R.D.D.
1500
26500
     
Cash in Hand
 
2500
     
Prepaid Rent
 
7000
     
Closing Stock
 
31000
     
Prepaid Insurance
 
500
           
   
147500
   
147500
Concept: Preparation of Final Accounts
  Is there an error in this question or solution?
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