Shankar maintains his book of account on single entry system. Prepare his final accounts from the information supplied for the year ended 30.9.2008 as follows.
Cash transactions during the year.
| Bank Charges |
150 |
| Drawings |
4,000 |
| Carriage inwards |
2,000 |
| Salaries and wages |
15,000 |
| Office expenses |
15,800 |
| Paid to creditors |
30,000 |
| Received from Debtors |
50,000 |
| Cash sales |
20,000 |
Particulars of assets and liabilities are given below:
|
01.10.2007 |
30.09.2008 |
| Stock |
18,000 |
20,440 |
| Cash in hand |
95 |
150 |
| Cash at bank |
1,000 |
...... |
| Creditors |
16,000 |
10,000 |
| Debtors |
44,000 |
..... |
| Fruniture |
2,000 |
2,000 |
| Land & Building |
30,000 |
30,000 |
Additional information:
1. Credit sales for the year Rs. 18,100.
2. Discount allowed to Debtors Rs. 2,100.
3. Return outwards during the year Rs. 500.
4. Salaries outstanding on 30.9.2008 Rs. 3,000.
5. Provision for doubtful debts is to be created to the extent of Rs. 3,000.
6. 5% depreciation is to be provided on furniture and land & buildings.
