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(Adjustment Entries) From the following information available on 31st March, 2018, pass the necessary Adjustment Entries in the Journal for the year ending on that date:(i) Interest accrued ₹ 2,500.(ii) Wages for March, 2018 outstanding ₹ 10,000.(iii) Insurance prepaid ₹ 1,500.(iv) Commission due to Manager 6% on net profit after charging such commission. The profit before charging such commission was ₹ 1,06,000. (v) Interest due on loan but not paid. Loan of ₹ 1,50,000 was taken at 9% p.a. 9 months before end of the year. |
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Answer» (Adjustment Entries) From the following information available on 31st March, 2018, pass the necessary Adjustment Entries in the Journal for the year ending on that date: (i) Interest accrued ₹ 2,500. (ii) Wages for March, 2018 outstanding ₹ 10,000. (iii) Insurance prepaid ₹ 1,500. (iv) Commission due to Manager 6% on net profit after charging such commission. The profit before charging such commission was ₹ 1,06,000. (v) Interest due on loan but not paid. Loan of ₹ 1,50,000 was taken at 9% p.a. 9 months before end of the year. |
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