Related InterviewSolutions

• Kuldeep, a general merchant, keeps his accounts on Single Entry System. He wants to know the results of his business on 31st March, 2019 and for that following information is available: `|{:(,,"1st April, 2018 (Rs.)","31st March, 2019 (Rs.)"),("Cash in Hand",.......................................................,"1,50,000","1,75,000"),("Bank Balance",.......................................................,"7,50,000","8,00,000"),("Furniture",.......................................................,"1,00,000","1,00,000"),("Stock",.......................................................,"5,00,000","6,50,000"),("Creditors",.......................................................,"3,50,000","4,00,000"),("Debtors",.......................................................,"2,50,000","3,00,000"):}|` During the year, he had withdrawn Rs. 5,00,000 for his personal use and invested Rs. 2,50,000 as additional capital. Calculate his profits on 31st March, 2019 and prepare the Statement of Affairs as on that date.
• Aditya a retailer, has not maintained proper books of account but it has been possible to obtain the following details: `{:(,," Last Year (Rs.)"," This Year (Rs.)"),("Trade Creditors","......................................"," 6,270"," 5,890"),("Loan from Naresh","......................................"," 5,000"," 5,000"),("Stock","......................................"," 12,350"," 11,980"),("Cash in Hand","......................................"," 570"," 650"),("Shop Fltting","......................................"," 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: ltbr. (a) Shop Fittings are to be depreciated by Rs. 780. (b)
• Mention three characteristics of Single Entry System.
• If the gross profit is `20%` of cost of goods sold and sales are Rs. 1,00,000, the amount of gross profit will beA. Rs. 20,000.B. Rs. 25,000.C. Rs. 16,667.D. None of these.
• On 1st April, 2018, X started a business with Rs. 40,000 as his capital. On 31st March, 2019, his position was as follows: `{:(,," Rs."),("Creditors","....................................................","30.000"),("Bills Payable","....................................................","10,000"),("Bank","....................................................","10,000"),("Debtors","....................................................","50,000"),("Stock","....................................................","40,000"),("Plant","....................................................","68,000"),("Furniture","....................................................","12,000"):}` During the year 2018-19, X drew Rs. 24,000. On 1st October, 2018, he introduced further capital amounting to Rs. 30,000. You are required to ascertain proffit or loss made by him during the year 2018-19. Adjustments: (a) Plant is to be depreciated to `10%`. (b) A provision of `5%` is to be made against debtors. Also prepare the Statement of Affairs as on 31st March, 2019.
• Calculate the stock at the end:
• Define Single Entry System. What are the defects of this system?
• Bills Payable honoured during the year will be debited toA. Cash Account.B. Bills Payable Account.C. Creditors Account.D. None of these.
• Closing balance of creditors is determined by preparingA. Total Debtors Account.B. Total Creditors Account.C. Bills Receivable Account.D. Bills Payable Account.
• Sales are calculated by addingA. Cash sales and cash received from debtors.B. Credit sales and cash received from debtors.C. Cash sales and credit sales.D. None of these.