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Aditya a retailer, has not maintained proper books of account but it has been possible to obtain the following details: Last Year (₹) This Year (₹) Trade Creditors 6,270 5,890 Loan from Naresh 5,000 5,000 Stock 12,350 11,980 Cash in Hand 570 650 Shop Fittings 7,250 7,800 Trade Debtors 5,280 4,560 Bank Balance 3,990 4,130 Calculate the net profit for this year and draft the Statement of Affairs at the end of the year after noting that:(a) Shop Fittings are to be depreciated by ₹ 780.(b) Aditya has drawn ₹ 100 per week for his own use.(c) Included in the Trade Debtors is an irrecoverable balance of ₹ 270.(d) Interest at 5% p.a. is due on the loan from Naresh but has not been paid for the year. |
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Answer» Aditya a retailer, has not maintained proper books of account but it has been possible to obtain the following details:
Calculate the net profit for this year and draft the Statement of Affairs at the end of the year after noting that: (a) Shop Fittings are to be depreciated by ₹ 780. (b) Aditya has drawn ₹ 100 per week for his own use. (c) Included in the Trade Debtors is an irrecoverable balance of ₹ 270. (d) Interest at 5% p.a. is due on the loan from Naresh but has not been paid for the year. |
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