Question

1. From the following information’s of du Ltd. on 31st March, 2019 you are required to prepare the Trading, Profit and Loss A/c and Balance Sheet:

Debit Balances	Amount (AED)	Credit Balances	Amount (AED)
Rent paid	1200	Capital	7100
Cash at bank	6250	Sales	72,000
Stock	12500	Sundry creditors	22,000
B/R	3000	Bills Payable	4150
Sundry debtors	32,500	Return outwards	500
Furniture	2000
Rent & Taxes	1300
Carriage inward	1450
Purchases	37,500
Salaries	3850
Commission	750
Postage	250
Return inward	1300
Interest	1900
	105,750		105,750

Answer 1

Trading A/C and Profit and Loss A/C

Particulars Amount Particulars Amount

Opening stock 12500   

Purchases -   

Return outwards

( 37500 - 500) 37000 Sales -

Carriage inwards 1450 Return inwards

Gross profit 19750 ( 72000-1300) 70700

70700 70700   

  

Rent paid 1200 Gross profit 19750

Rent and taxes 1300

Salaries 3850

Commision 750

Postage 250

Interest 1900

Net profit 10500

19750 19750

Balancesheet

Assets

Current Assets ( Cash at Bank + Bills Receivable +debtors) 41750

Fixed Assets ( Furniture) 2000  

  

43750

Liabilities and Equity

Capital ( Add Net Profit)

( 7100 + 10500) 17600

Liabilities

( Creditors + Liabilities) 26150      

43750

Gross profit = 19750

Net Profit = 10500

Balancesheet Total = 43750