Dr. Question-4 From the following trial balance of John Brown, store owner, prepare a trading account and profit and los

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Dr Question 4 From The Following Trial Balance Of John Brown Store Owner Prepare A Trading Account And Profit And Los 1 (45.65 KiB) Viewed 295 times

Dr. Question-4 From the following trial balance of John Brown, store owner, prepare a trading account and profit and loss account for the year ended 31 December 2007, and a balance sheet as at that date, taking into consideration the adjustments shown below: Trial Balance as at 31 December 2007 Particulars Cr. Rs. Rs. Sales 400.000 Purchases 350,000 Sales returns 5,000 Purchase returns 6,200 Opening stock at 1 January 2007 100,000 Provision for doubtful debts 800 Wages and salaries 30,000 Rates 6,000 Telephone 1,000 Shop fittings at cost 40,000 Van at cost 30,000 Debtors and creditors 9,800 7,000 Bad debts 200 Capital Bank balance 179,000 3,000 Drawings 18,000 593,000 593,000 (1) Closing stock at 31 December 2007 Rs.120,000. (ii) Accrued wages Rs.5.000. (iii) Raies prepaid Rs.500. (iv) The provision for doubtful debts to be increased to 10 percent of debtors. (v) Telephone account outstanding Rs.220.