[DK Goel] Q. 23 Financial Statements (with Adjustments) Solutions Class 11 CBSE (2025-26)
Solutions of Question number 23 of Chapter 20 Financial Statements (with Adjustments) DK Goel class 11 CBSE (2025-26)
From the following Trial Balance and other information prepare Trading and Profit and Loss Account for the year ended 31st March 2016 and Balance Sheet as at that date.
| Heads of Accounts | Debit (₹) | Credit (₹) |
| Sundry Debtors | 32,000 | |
| Stock (1st April 2015) | 22,000 | |
| Cash in Hand | 35 | |
| Cash at Bank | 1,545 | |
| Plant and Machinery | 17,500 | |
| Sundry Creditors | 10,650 | |
| Trade Expenses | 1,075 | |
| Sales | 1,34,500 | |
| Salaries | 2,225 | |
| Carriage Outwards | 400 | |
| Rent | 900 | |
| Bills Payable | 7,500 | |
| Purchases | 1,18,870 | |
| Discounts | 1,100 | |
| Premises | 34,500 | |
| Capital (1st April 2015) | 79,500 | |
| 2,32,150 | 2,32,150 |
Additional Information: Stock on 31st March 2016 was ₹ 12,450. Rent was unpaid to the extent of ₹ 85 and ₹ 150 were outstanding for Trade Expenses. ₹ 400 are to be written off as bad debts out of the above debtors, and 5% is to be provided for doubtful debts. Depreciate plant and machinery 10% and premises by 2%. Manager is entitled a commission of 5% on net profit after charging his commission.
[Ans. Gross Profit ₹ 6,080; Net Loss ₹ 4,275; Balance Sheet Total ₹ 93,610.]
Solution:-
Hint: Manager will not be entitled for any commission since there is net loss in the question.
