Special Purpose Books 2 Cash Book — Account STD 11 Commerce — Question

Leena sold goods to Meena on 1st March, 2009 for ₹ 68,000 and drew two Bills of Exchange of the equal amount upon Meena payable after three months. Leena immediately discounted the first bill with her bank at 12% p.a. The bill was dishonoured by Meena and Bank paid ₹ 55 as noting charges.
The second bill was retired on 4th May, 2009 under a rebate of 6% p.a. with mutual agreement.
Journalise the above in the books of Leena and Meena.

‘An accounting report is essential a report which must be able to fulfil certain basic criteria' Explain? List the various types of accounting reports.

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:

1. Shop Fittings are to be depreciated by ₹ 780.
2. Aditya has drawn ₹ 100 per week for his own use.
3. Included in the Trade Debtors is an irrecoverable balance of ₹ 270.
4. Interest at 5% p.a. is due on the loan from Naresh but has not been paid for the year.

M/s. P & Q purchased machinery for ₹ 40,000 on 1st October, 2016. Depreciation is provided @ 10% p.a. on the Diminishing Balance. On 31st January, 2019, one-fourth of the machinery was found unsuitable and disposed off for ₹ 5,600. On the same date new machinery at a cost of ₹ 15,000 was purchased. Write up the Machinery account for the years ended 31st March, 2017, 2018 and 2019. Accounts are closed on 31st March each year.

Prepare trading and profit and loss account and balance sheet of M/s Royal Traders from the following balances as on March 31, 2017.

Closing stock ₹ 8,000

Prepare Trading and Profit and Loss Account and Balance Sheet from the following balance, retating to the year ended 31st march, 2019:

Additional Information:

1. Closing Stock was valued at ₹ 14,500.
2. Depreciation Plant and machinery.
3. Write off Debts ₹ 5,000.
4. ₹ 400 is due for repairs.

Pass the necessary Journal entries to rectify the following errors:

1. ₹ 15,000 paid as wages for the construction of office building debited to Salaries Account.
2. ₹ 20,000 spent on the purchases of material for the construction of building debited to Purchases Account.
3. ₹ 50,000 spent on the extension of building was debited to Building Repairs Account.
4. ₹ 25,000 spent on whitewash of a new building was charged to Building Repairs Account.
5. ₹ 1,000 paid as installation charges for newly purchased second hand machinery posted to Cartage Account.
6. ₹ 10,000 paid as repairing charges on the reconditioning of a newly purchased second hand machinery debited to General Expenses Account.
7. ₹ 5,000 paid as repairing charges of an existing machine in use charged to Machinery Account.
8. ₹ 10,000 paid by cheque for a printer was charged to the Office Expense Account.

Charu do not keep proper books of accounts. Prepare the statement of profit or loss for the year ending 31-3-2017 from the following information:
The following adjustments are to be made:

1. Proprietor withdrew cash ₹ 5,000 per month for private use.
2. Depreciation @ 5% on Car and @ 10% on furniture.
3. Outstanding Rent ₹ 6,000.
4. Fresh Capital introduced during the year ₹ 30,000.

Give the Journal entries for the following:

1. B's acceptance to us for ₹ 1,000 due this day, renewed at his request for 3 months with interest @ 6% p.a.
2. Our bill to Chandra for ₹ 5,000 renewed for 2 months with interest @ 6% p.a.
3. B's acceptance of ₹ 3,000 is discharged on his paying us cash ₹ 1,000 and accepting a fresh bill for the balance with interest ₹ 100.