SSC BOARD PAPERS IMPORTANT TOPICS COVERED FOR BOARD EXAM 2024

### Mr. Govind keeps his books by single entry method and disclosed the following information of his business.

(1) Mr. Govind transferred Rs. 300 per month during first half year and Rs. 200 each month for the remaining period from his business to his personal account. He also took goods of Rs. 700 for private use.

(2) Mr. Govind sold his personal assets for Rs. 7000 and brought the proceeds into his business.

(3) Furniture is to be depreciated by 10%.

(4) Provide R.D.D. at 5% for debtors.

Prepare: Opening and Closing Statement of affairs and Statement of Profit or Loss for the year ended 31st March 2013.

Solution: In the books of Mr. Govind
Statement of Affairs as on 1.4.2012

 Liabilities Amount. Assets Amount Creditors 52500 Furniture 15000 Capital at the beginning of the year. [Bal. Fig.] 88500 Debtors 60000 Stock in Trade 30000 Cash at Bank 36000 141000 141000

Statement of Affairs as on 31. 3. 2013

 Liabilities Amount. Assets Amount Bills Payable 18000 Investments 30000 Creditors 69000 Fruniture 15000 Capital at the End of the year [Bal. Fig.] 139500 Debtors 90000 Stock in Trade 37500 Cash at Bank 54000 226500 226500

Statement of Profit Or Loss of Mr. Govind for the year ended 31. 3. 2014

 Particulars Amount. Rs. Amount. Rs. Capital at the end of the year. 139500 Add: Drawings For the first Half Year = 6 months x Rs. 300 1800 For the next half year = 6 months x Rs. 200 1200 Goods withdrawn for personal use 700 3700 143200 Less: Additional Capital Introduced -7000 Adjusted Closing Capital. 136200 Less: Capital at the beginning of the year. - 88500 Profit Before Adjustments 47700 Add: Incomes and Gains During the year - Less: Expenses and Losses During the year. (i) Depreciation On Furniture = 15000 x 10% 1500 (ii) R.D.D. @ 5% on Debtors = 90000 x 5% 4500 -6000 Net profit for the year 41700