OMTEX CLASSES: Single Entry Solution: In the books of Miss kalpana

Single Entry Solution: In the books of Miss kalpana

Single Entry Solution: For Solution Click Here

In the books of Miss kalpana
Closing Statement of Affairs as on 31st March, 2016

Liabilities
Amount
Assets
Amount
Bills payable
12880
Cash
9120
Creditors
17180
Stock
10250
Capital (Balancing Figure)
175980
Debtors
31000


Prepaid Insurance
550


Bills Receivable
29120


Premises
85800


Vehicles
40200





206040

206040

Statement of Profit or Loss for the year ended 31st March, 2016.

Particulars
Amount (Rs.)
Amount (Rs.)
Capital at the end of the year.

175980
Add: Drawings during the year

10000


185980
Less: Additional Capital Introduced

-20000
Adjusted Closing capital

165980
Less: Capital at the beginning of the year.

-130000
Profit Before Adjustments

35980
Add: Incomes and Gains during the year


Decrease in the value of creditors

-2180


38160
Less: Expenses and losses During the year.


(1) Interest on Capital (6500 + 500)
7000

(2) Bad debts
1000

(3) Reserve for Doubtful Debts
750

(4) Depreciation on Vehicles
4020

(5) Depreciation on Premises
4290
- 17060
NET PROFIT

21100