FINAL ACCOUNTS OF SOLE PROPRIETORSHIP — Commercial Studies STD 10 — Question

The following balances were extracted from the books of Sri S. Kumar on 31st December 2022:

	Debit (₹)	Credit(₹)
Capital		24,500
Drawings	2,000
General Expenses	2,500
Building	11,000
Machinery	9,340
Opening Stock	16,200
Power	2,240
Taxes & Insurance	1,315
Wages	7,200
Sundry Debtors	6,280
Sundry Creditors		2,500
Charity	105
Bad Debts	550
Bank Overdraft		11,180
Sales		65,360
Purchases	47,000
Scooter	2,000
Bad Debt Provision		900
Commission		1,320
Trade Expenses	1,780
Bills Payable		3,850
Cash	100
	1,09,610	1,09,610

Stock on 31st December 2022 was valued at ₹23,500.
Prepare Final Accounts for the year ended 31st December 2022.

From the following trial balance of Mr. A prepare a Trading Account and a Profit and Loss A/c for the year ending 31st Dec., 2022 and a Balance Sheet as on that date:

TRIAL BALANCE
Debit Balance	(₹)	Credit Balance	(₹)
Cash	10,000	Sales	1,80,500
Stock	40,800	Returns	195
Wages	22,525	Loan	20,000
Purchases	1,30,295	Creditors	30,305
Returns inward	2,400	Discount	530
Repairs	1,675	Capital	37,500
Bad Debts	2,310
Interest on Loan	600
Salaries	8,000
Sales Tax	800
Octroi	500
Insurance	1,000
Charity	125
Rent	2,000
Machinery	16,000
Debtors	30,000
	2,69,030		2,69,030

Stock on 31st Dec., 2022 was ₹40,925.

Explain the conflicting needs of the stakeholders of a company.

From the following trial balance and other additional information obtained from the books of Mr. Sunil Gavaskar, prepare his trading account and the profit and loss account for the half-year ended 30th September, 2023 and his balance sheet as on that date:

	Debit (₹)	Credit (₹)
Capital Account		1,55,000
Drawings Account	9,000
Trade Expenses	12,000
Cash in Hand	750
Cash at Bank	22,700
Freehold Premises	1,30,000
Stock as on (1/4/2023)	35,000
Purchases and Sales	75,000	2,50,000
Returns	2,800	2,000
Carriage Inward	1,500
Carriage Outward	3,500
Sundry Debtors and Sundry Creditors	48,000	25,000
Bills Receivable and Bills Payable	22,000	10,500
Furniture and Fixtures	15,400
Bad Debts	1,500
Wages	25,000
Salaries	19,850
Advertisement	15,000
Rent, Rates and Taxes	3,500
	4,42,500	4,42,500

(1) Stock was valued at ₹40,000 on 30.9.2023.

Differentiate between fixed costs and variable costs.

What is insurable interest? Is it necessary in all contracts of insurance?

Explain the significance of transportation.

Discuss the advantages of insurance to businessmen and to the public.

Explain the expectations of internal stakeholders in a commercial organisation.

The directors of a company have decided to modernise the plant and machinery at an estimated cost of rupees one crore. State the merits and demerits of issuing equity shares for the purpose.