Financial Statements of Sole Proprietorship — Account STD 11 Commerce — Question

Following are the Extracts of Trial Balance:

Sundry Debtors (including a B/R for ₹ 5,000 received from Giriraj)
Bad Debts	1,20,000
Provision for Doubtful Debts	3,000	1,800

Giriraj became insolvent and only 40% could be realised from his estate. You are required to make a provision of 5% for doubtful debts. What will be the annount of provision?

Give any two items that are credited to Profit and Loss Account.

How can credit purchases be determined from incomplete records?

What does 'Debit balance as per the Cash Book mean?

Cancelling an old bill and drawing a new bill is called Renewal of a Bill. Is this true or false?

Which balance of the bank column in the Cash Book signifies bank overdraft?

Ramesh's Trial Balance as on 31st March, 2019 gives the following information:
Show how the above items would appear in the Profit and Loss Account and Balance sheet.

Arun is a trader. While preparing his final accounts on 31st March. 2018, he made a provision for doubtful debts @ 4% of the sundry debtors amounting to ₹ 42,000. During the year ended 31st March, 2019, doubtful debts amounted to ₹ 3,400. On 31st March, 2019, sundry debtors were ₹ 56,500 and the provision for doubtful debts was maintained at the same rate.
Show the entries to record the above matters in Arun's Ledger Accounts.

State two transactions which may be recorded in Pass Book but not in Cash Book.

Assets and Liabilities of a particular accounting period are shown in the Balance Sheet. Do you agree?