MODEL QUESTION PAPER - 5 Second Year PUC ACCOUNTANCY (30) Time: 3.15 hrs. Max Marks : 100 SECTION-A ing two marks: 7x2=14 |. Answer any seven questions, each cari - State any two types of Reserves. Mention any two circumstances of changing capital balance under fixed capital method. L 1 2. 3. Nametwo methods of valuation of Goodwill 4. Give Journal entry for payment made immediatly to the retiring partner. 5. Whatis dissolution of partnership? 6. What do you mean by position statement? 7. When can shares be forfeited? 8. List the two types of Financial Statement Analysis. 9. How do you treat prizes paid when prize fund given? (0. Mention any two models of database management system. SECTION-B II, Answerany four questions, Each carrying five marks. 4x5=20 11. Ravi and Raju are partners sharing profits inthe ratio of 3 :2 with capital of Rs, 0,000 and Rs, 60,000 respectively, Raju withdrew as shown below on 30.06.2015 & 6000 on 01.09.2013 & 5,000 on 01.11.2013 & 4,000 0m. 01.03.2014 & 1,000 Calculate interest on drawings of Raju at 6% p.a. under specific method for the year ending 31.3.2014. 12, Vajra and Vani are partners sharing profits and losses in the ratio of 3: 2. They admit Rani {nto the partnership and offer her 1/Sth share, which she acquires inthe ratio of 3 | from the old partners. Calculate the new profit sharing ratio. 13. Pinki, Rinki, and Dinki were partners ina firm, sharing profits and losses in the ratio of 2:2: 1, The balance sheet ofthe firm as on 31.3.2014 was as under. YbPUE Liabilities z Assets z Bills payable 16,000 | Cashinhand 15,000 Creditors 19,000 | Stock in trade 10,000 Capitals: Billsreceivable 25,000 Pinki ‘Computer 30,000 Rinki Furniture 15,000 Dinki Fixtures & fittings 25,000 P&LA 10,000 1,30,000, 130,000 Dinki: died on 30th June 2014. His excutors were entitled forthe following: (a) His capital as on the date of death. (b) Ilis shacr in the profit and loss account (c) Interest on capital isto be allowed at 10% p.a. (d) His hare of profit up to the date of his death calculated on the basis of previous year’s profit. ‘The profit of the firm for the current year estimated at & 20,000. Prepare Dinki's executors aceount 14, Vajreshwari: Co. Ltd. issued 10,000 6% debentures of 2100 each at a discount of 10% payable & 20 on application 20 on allotment and 50 on first and final call. Pass Journal entries upto allotment money received. 15. Compute stock tumover rato fom the following information: Net Sales ; 71,00,000 Gros profit : % 25,000 ‘Closing stocks : 7 30,000 Excess of closing stock over opening stocks £10,000, 16. From the following particulars prepare the receipts and payments account of the Gangavathi club for the year ending 31.03.2014. Cash balance on 01.04.2013 5,000 subscription received € 8000, Library books purchased % 6,000, paid for news paper and Journal & 500, paid for Printing and Stationary 1,000, paid for rent 4,000, Received entrance fees ® 3,000, proceeds form lecturersand concerts 4,000, paid for lecturers and concerts ® 2,000 paid electricity charges ® 300, 17, Explain the Five qualitites of information, dtPUB, SECTION-C IIL. Anywer any four questions each carrying fourteen marks: 4x 14=56 18, On 01.04.2010 a firm purchased a Machinery for ® 28,000 and spent ® 2,000 for its installation on 01.10.2012. It sold a part of the machinery costing 12,000 for 8,800, con the same day, new machinery was bought for® 15,000. The firm charges depreciation at 10p.aon diminishing balance method, on 31st March every yeat. Show Machinery A/c and Depreciation A/c for 4 years. 19, X, Yand Z are partnersh sharing profit and losses in the ratio of 2 : 3 : 5 respectively. 00 31.05.2012. heir Balance Sheet was as under. Liabiliteis | % ri Assets, zg zg Creditors 38,000 | Bank 45,000 Bills payable 35,000 | Debtors 40,000 Reserve 30,000 | Less: Provision 5,000 Capitals: Stock x 80,000 Fumiture Y 70,000 Motor ear 20,000 Zz 60,000 | 2,10,000 | Machinery 55,000 Buildings 0,000 Profitand LossA/e 25,000 3,13,000 3,13,000 (On the above date, X retired on the following conditions: (a) Depreciate Machinary, Fumiture and Motor car at 10% each (b) Appreciate Stock and Buildings by 5% each (©) Maintain provision for bad debts at 20% (@) Outstandings salaries € 3000 (©) Goodwill of the firm is valued at 40,000.X’s share of goodwill isto be created and ‘witten offimmediatly (, Remaining partners decided to pay the X's dues by avai Prepare (1) Revaluation A/e (2) Capital A/e s of partners and (3) Balance sheet ofthe new firm. 20. A, Band C were partners ina firm, sharing profits and losses inthe ratio of 2:2: 1. Their Balance Sheet on the date of dissolution was follo Yb 1g bank overdraft.PUE Balance Sheet as on 31.03.2014 Liabilities z ‘Assets z Creditors 00 Cashat Bank BOT Bills payable 20,000 Debtors 30,000 C’sLoan 8,000 Stock 30,000 General Reserve 10,000 Fumiture 22,000 Capitals: Machinery 20,000 A 40,000 Buildings 50,000 B 30,000 c 20,000 1,58,000 1,58,000 (a) The assets realised as follows: Debiros realised 10% less than the book value, The stock realised 15% more than the book ‘value and building realised at & 60,000. (b) The furniture was taken over by’'A' at %, 20,000. (©) The Machinery was taken over by'B' at 15,000. (d) Creditors and bills payable were paid offat a discount of 5%. (e) Cost of dissotution amounted to 1500 Prepare: (1) Realisation A/e (2) Partners capital A/es and (3) Bank A/c. 21. Krishna Trading Company Limited issued 10,000 equity shares at 10 each at a premium ‘of @2 per share. The amount was payable as follows: %2onapplication 5 onallotment including premium €3on first call and @2on final call All the shares were subscribed and the money duly received except the final eall on 1000 shares, the directors forfeited these shares and re-issued them as fully paid up at 88 per share. ass the Journal Entties in the books of the compnay. dtPUB, 22. The following isthe tial balance of Rachana company Ltd. Bangalore. Trial Balance as at 31.03.2014 Particulars Debit Credit ‘Share capital : 1,00,000, (10,000 shares of Rs. 10 each) Opening stocks Purchases Purchase returns Sales Sales returns Wages Salaries Postage Commission received Rent Investments Bills receivable and payable Debtors, Creditors Reserve fund - 70,000 Profit and loss app. account : 12,000 Cashat bank 17,000 - 4,60,500 4,60,500 Adjustments: 1. Closing stock 8 25,000. 2. Depreciate machinery and furniture by 10% each. 3. Proposed dividend & 20,000. 4. Outstanding salary & 2,000, 5. Transfer to reserve fund & 20,000, Prepare Income statement and position statement for the year ended 31.3.2014 tb23. The following is the income statemer PUE (ofa company for the year ending 31.03.2013 and, 31.03.2014, Prepare common size income statement. Particulars: 31.03.2013 31.03.2014 x g Sales 5,00,000 7,00,000 Cost of goods sold 3.25,000 5,10,000 Office expenses 20,000 000 Sellingexpensess 30,000 45,000 Interest 25,000 30,000 Miscellaneous income 20,000 15,000 Income tax 20,000 18,000 Depreciation 4,000 3,000 24. Followingjis the balance sheet and Receiptsand Payment A/e of Rachana education Trust, Bangalore. Balance Sheet as on 01.04.2013 Liabilities & | Assets z Outstanding office expensess 5,000 | Cash in hand 15,000 Bank loan 35,000 | Fumiture 25.000 Capital fund 1,20,000 | Buikfings 70,000 Sports materials 20,000 Library books 30.000 160,000 1,60,000 Dr Receipts and Payments a/c for the year ending 31.03.2014 cr. Receipts @ | Payments x To balance bid 15,000 | By office expenses 22,000 ‘To Subscriptions $0,000 | By Printingand stationary 600 ‘To Entrance fee 8,000 | By Salary 25,000 ‘To Donations 12,000 | By Purchase of books 10,000 To Interest 3,000 | By Bank loan repaid 5.000 By Subscription tonews paper] 600 By Balance eld 26.800 90,000. 90,000 iPPUB, Adjustments: 1. Subscription outstainding & 5000 2. Salary prepaid @ 3000 3. Capitalise 50% of entrance fee and 50% of Donations 4, Depreciate Buildings by 10% pa. Prepare: (a) Income and Expenditure a/c forthe year ended 31.03.2014 14. SECTION -D (b) Balance sheet as on 31.03. (Practical Oriented Questions) IV. Answer any two questions, each carrying five marks. 2*5=10 25. Prepare profit and loss appropriation account of a firm with five imaginary figures. 26. Write the pro-forma of vertical Balance sheet of a joint stock compay with appropriate heads 27. Prepare the comparative income statement of two years with five imaginary figures.PUE SCHEME OF VALUATION -5 ACCOUNTACY (30) ‘Time: 3: 15 hrs. Max. Marks : 100 SECTION-A 1 (a) Revenue Reserves (b) Capital Reserves or any two oy 2. (@) Whenadditional capital introduced (b) When withdrawal made from capital o 3 (2) Average profit method (b) Super profit method (©)Capitalisation method 0 4. Retiring partner'scapital Ale Dr To cash /Bank A/e (Being retiing partner due paid) 02 5. Dissolution of partners firm means, al the partner's ofthe firm ‘cutoff their connections withthe firm and the business ofthe firm isclosed down. o 6. Position statementis a statement of sources and applications offunds ofa company 7. Fornon payment of allotment money orcall money or both bya share holder o 8. (a) Comparative statements (b) Common size statements or any two Prizes paid are deducted from prize fund o) 10. Network data base, Relational data base or any o SECTION-B 11. Calculation of interest on drawings of Raju j O/S months Interest on drawings = Amount of drawings » Rate x 5 o1 dPPUB, 270 o1 ol = 100 o1 =02 ol 550 <. Fotal drawings of Kaju=350 12, Calculation of new profit sharing ratio of Vajra, Vani and Rani New share = Old share ~ Share sacrified Share sacrified = Sacrifice ratio « New partner share ol Share by Vajra= 3x4 = 3 hare by Naja 45" 20 Share by Vani ol o1 ol : fom 4 og New ratio= 5555755 09: 724 o1 tbPUE 13. Dr Dinku's Exeeutors Account Cr Particulars = | Particulars z To P/LA/e (loss) 2,000 | By Balance b/d 20,000 (10,000 » 1/15) By Interest on capital 500 13) ‘To Executors loan Ale 19,500 (20.000%-10, 2) By PiL suspense A/c 1,000 (20 000% 3 3) 21,500 21,500 “a “Journal nities Date] Particulars LF] Debit @ | Creait® 1. [Bank Ave Dr 2,00,000 To6% Debenture application Ale = | 2,00,000 (Being debenture application money received ‘on 10,000 debentures at @. 20 each) 6% Debenture application A/c Dr 2,00,000 : To 6% Debentures A/c = | 2,00,000 (Being debenture application money transferred to debentures A/c) 3. 16% Debenture allotment A/c Dr 2,00,000 - Discount on issues ofdebentureA‘e Dr 1,00,000 - To.6%Debenture Ale - | 3.00.00 (Being allotment money due on 10,000 debentures at 20 each at adiscount) 4, | Bank Ae Dr 2,00,000 : To 6% Debentures allotment Ale ~ | 2,00,000 (Being the allotment money received) 15, Computation of stock turnover ratio: _ Cost of goods sold Average stock Cost of goods sold = Sales ~ GP = 1,00,000 25000 = 75,000 a STRPUB, Opening stock + Closing stock _ 20,000+30,000 Average stock = > 5 16. Receipts and payments A/c for the year ending 31.03.2014 Dr cr [Receipts g Payments x To Balance b/d 5,000 | By Library books 6,000 [To Subscription 8,000 | By Newspaper & Journal 500 To Entrance fees 3,000 | By Printing & stationery 1,000 [To Proceeds from Lecturer | 4,000 | By Rent 4,000 & concert By Lecturers & concerts | 2,000 By Electricity cha 300 By Balance, e/d 6.200 20.000) 20,0007 17, (@) Accurate: The data entered into the system must be correct and complete. (b) Complete: The information should include all data which are relevant, (©) Reliable: The information should not hide important information, (4) Timely: Information should be made available as and when itis needed. Up-to-date : Information should be upto date. Seetion-C 18, Dr Machinery Ale cr. Date | Particulars @ [Date | Particutars z 1.4.10 | To Bank A/e 30,000 | 31.3.1 | ByDepreciationA‘e] 3,000 e000) (:0.00.22) 100 313.2011 ByBalancee’d | 27,000 30,000 30,000 crPUE 14.11 [ToBalancebd [27,000 [31.03.12 | ByDeprediciation A’e] 2700 313.12 | ByBalance e/d 24,300 27.000 27,000 14.12 | ToBalancebd | 24,300 | 1.10.12 | ByDepreciationale | 486 Teta neree em (orn 16) 1.10.12 | ByBank Ale 8,800 (Sale of machinary) 1.10.12, | ByP&LA‘e 434 (Losson sale) 313.13. | ByDepreciationAe | 2,208 ) (14ss0»!® ss) {4580x797 159) 6 750 313.13. | ByBalance e/d 27,372 39,300 39.300 27.372 | 313.14 | ByDepreviationate [2,737 14.13 | ToBak md) 100. 313.14 | ByBalanee eld 1.4.14 | ToBalance b/d Dr. ion Ale Cr. [Date | Particulars = [Date Particulars z 31.3.2011] ToMachinery Ale [3,000 | 31.3.2011 [By Profit & Loss A/e | 3,000 3,000 3,000 31.3.12 | ToMachineryAle [2,700 | 31.3.12 | ByProfit & Loss Ae [2,700 2,700 2,700 01.10.12 | To Machinery A/c 486 By Profit LossA/e | 2,694 313.13 | ToMachinery Ale | 2,208 (1458 + 750)PUB, 313.14 2,737 [313.14 | ByProfit& Loss Ale [2,737 ZIST 277 Calculation of profitor loss on sale of part of machinry. Cost of the part of machinery sold 12,000 (on 01.04.2010) Less: Depreciation for First year 1,200 Depreciation for second year 1,080 Depreciation forsix months, 486 2.766 Cost of the Machinery on the date of sale 9.234 Less: Selling price 8,800 Loss an sale of machinery 434 (Marks: Machinery ale 10, Depreciation Ale4) 19. Dr Revaluation Ave cr, Particulars &_| Particulars z To Machinery Ale By Stock A/e 1,250 To Furniture Ale By Buildings A/c 4,000 To MotorearA/e By Pariner's capital A/e (loss) | 11,050 ToProvision forbad debisAle| 3,000, | X 1105055 To O/S salaries Ale 3,000 | -¥ 110505 Z_ M050«: = 5,525 16,300 16,300 Dr Partner's Capital A/c Cr Particulars x [iy Particulars xX | vy jz To Revaluation (loss) | 2210 | 3315 By Balance ba | 80.000 | 70000 | 66,000 ToP& Laie S000 | 7.500 ByReserve — | 6000 | 9.000. | 15,000 ToGoodwilla’e a | ByGoodwitl | go00 | 7 ToBaskae(BOD) }a6790 | - To Balance cid = | 65185 ‘94000 | 79000 BIN | FO TO RyRalanoe wd | — | ass | stars aPUE Dr Bank Ale cr Particulars x Particulars z To Balance b/d 45,000 | By X’scapital A/e 86,700 [To Balance e/d 41,790 86.700 86,700 Dr Goodwill Ae Cr Particulars z Particulars z [To X's capital Ale (oldratioy| 8,000 | By V'scapital Ave 3,000 By Z’scapital A/c 5,000 8,000. 8,000. Balance sheet of Y and Z.as on 31.03.2012 [Liabilities e Ty] Assets z z (Creditors 38,000 | Debtors 40,000 Bills payable 35,000 | Less: Provision 8000 } 32,000 Bank overdraft 41,790 | (5000 + 300) Capitals: Stock Y 65,185 ‘Add: Appreci 26.250 Iz 51,975 | 1,17,160 | Fumiture Outstanding salaries 3,000 | Less: Depreciation 25.200 Motor car Less: Depreciation 18,000 Machinery Less: Depreciation 49,500 Buildings ‘Add: Appreciation 84,000 SAS 234,950 (Marksi2+252>2+1+1>4- Th 20. Dr, Realisation Ae cr Particulars | Particulars z ToDebios Ale 30,000 | By CreditorsAle 30.000 ‘ToStock A/e 30,000 | By Bills payable Ale 20,000 ‘ToFumiture Ale 22,000 | By Bank Ale ‘To Machinery Ale 20,000 |_Debtors 27,000 dtPUB, To Bank Ale Stock 34,500 Creditors 28,500 Buildings 60,000 |1,21.500 Bills payable 19,000 | 47,500 | ByA’scapital Ale 20,000 ToBank Ale 1,500 | (Furniture taken over) (Cost of dissolution) ByB's Capital Ale 15,000 ToPartner'scapital Ale's(profit) | 5,500 | (Machinery taken over) 2,06,500 2,06,500 Dr Partnerscapital A/c Cr Particulars «| 8 [© [Particulars a] 68 | ¢ To Realisation Ae [20007 | 15000 |—- | By Balance Bd [#0000 | 30000 | 20000 To Bank Ale 26200 | 21200 | 23.10 | By Reserve fund | 4000 | 4000 | 2.000 (Assets taken out) By Realisation Ave] 2200 | 2200 | 1,100, 6200 | 36200 | 23,100 6a | 36200 | F00 De Bank Ale Ge Particulars’ TT Particutars z ‘ToBalance Bid 6,000 | ByRealisation Ale 47,500 ‘To Realisation A/c 1,21,500 (Liabilities paid) (Assets realised) By Realisation Ale 1,500 (Cost of dissoluts) By C’sLoanA/e ByA’sCapital Ale By B'sCapital A/c By C's Capital Ae 23,100 127,500 127.500 Marks:7+3+4=14 aPUE a. Journal Entries in the books of Krishna Trading Co. Ltd. Date] Particulars LF | Debit? | Credit? 1. [Bank Ale Dr 20,000 - To Equity Share application Ale 20,000 (Being application money received on 10,000 shares of & 2 per share) Equity share application A/c Dr 20,000 To Equity share capital Ale 20,000 (Being application money tranferred to share capital A/c) Eshare allotment A/e(10000*5) Dr 50,000 {fo Equity share capital A/c (10,000 * 3) 30,000 ‘To Securities premium A/c (10,000 2) 20,000 (Being allotment due including premium) 4. [Bank ave Dr 50,000 To Fquity share allotment Ale 50,000 (Beingallotment money received) 'S._ | Equity share first call A/c Dr 30,000 To Equity shares capital A/c 30,000 (Being: First call money due on 10,000 shares at €3 per share) 6. | Bank A‘e Dr 30,000 To Fquity share first call Ale 30,000 (Being frst call money received on 10,0000 shares at @3 pet share) 7, | Equity share final call A/c Dr 20,000 ‘To Equity share capital A/c 20,000 (Being: Final call money due on 10,000 shares at €2 per share) 8, | Bank A/c Dr 18,000 ‘To Equity share final eall A/e 18,000 (Being: Final call money received on 9000 shares at & 2 per share) srPUB, 9. Equity share capital A/e (1000 10) Dr 10,000 To Forfeited shares A/c (1000 * 8) 8,000 To Equity shares final call A/c (1000 2) 2,000 (Being: Forfeture of 1000 share for the non payment of final call) 10, Bank A/e (1000 * 8) br 8,000 Forfeited shares Ale Dr 2,000 To Equity shares capital A/e 10,000 (Being: Re-issue of 100 forfeited shares lat ® 8 fully paid up) 11, | Forfeited shares A’e Dr 6,000 }To Capital Reserve A/c 6.000 (Being: Profitin Forfeited shares accounts in respect of re-issued (8000-2000) transferred to capital reserve A/c) DHL 42414 HHH1+242+ T= 14 22. Working notes: Notes: I Cost of goods sold z x ‘Opening stocks 14,000 ‘Add: Purchases Less: Returns 1,52,000 Wages 15,000 1,81,000 Less: Closing stock 25,000 756,000 ‘Note: 2 Operating expenses and losses Salaries 19.200 Add: Outstanding salaries 2,000 21,200 Postage 3,800 Rent 9,500 Less: Operating ineome 34,500 commission received 3,300 31,200 ‘Note: 3 Interest on borrowings Nil SsPUE ‘Note 4 Dividend and appropriations Proposed dividend 20,000 Corporated dividend tax 20,000 * 16.225% 3.245 Transfer to reserve fund 20,000 8.245 Note :5 Share capital ‘Share capital 10,000 shares of RS. 10 each 17,00,000 Note: 6 Reserves and surplus Reserve fund 70,000 Add transfer to reserve fund 20.000 90,000 Surplus 11,955 101,955) Note: 7 Secured loans Nil Note: 8 Fixed assets Goodwill | Buikiings | Machinery | Fumitwre [Total Gross block 40,000 | 85,000 30,000 | 16,000 | 1,71,000 —Depreciation : : 3,000 1,600 | _4,600 Net block 40,000 85,000, 000 [14.400 | 1,66,400, Notes: 9 Current assets loan and advances Billsreceivable 12,000 Debtors 24,000 Cash at bank 17,000 Closing stock 25,000 Note: 10 Current liabilities and provisions, Bills payable Creditors Outstanding salary Corporated dividend tax Proposed dividend Note: 11 Miscellaneous expenses: itPUB, Income statement of Rachana company Ltd for th Particukars Amount? Sales 2,40,000 ~Sales returns 000 2.35,000 Less cost of gods sold 1 1.56.00 Gross profit 79,000 Less: Operating expenses (net) 2 31,200 EBITDA 47,800 Less: Depreciation 8 4,600 EBIT 43,200 Less: Interest on borrowing 3 : EAT 43,200 Less: Dividend and appropriation 4 4: Balance ‘Add: Opening balance of F & Lapp. A/c 12,000 ‘Surplus transfer to balance sheet 11,955 Position statement of Rachana Company Ltdas on 31.3.2014 Particulars Note No. z ‘Share holders fund Share capital 3 1,00,000 Reserves and surplus 6 1,01,955 Non-current liabilities Secured loan 7 Unsecured loan : Total 2,01,955 Assets Note No. z Fixedd assets 8 1.66,400 Investments 9 15,000 Currentassets, loan andadvances 78,000 Less: Current liabilitesand provisions _ 57.445 10 20,555 Miscellaneous expensess u Nil Total 2.01.955 IPUE 23. Common size income statement for the year ending 31.3.2013 and 2014 Particulars 313.2012 3132013 z % z % Sales 5,00,000 | 100 700,000 100 Less: Cost of goods sold | 3,25,000 65 510,000. | 72.86 Gross profit(A) 1,75,000 35 7,90,000_[ 27.14 Less: Operating expenses Office expenses 20,000 4 25,000 | 3.57 Sellingexpenses 30,000 6 43,000 | 6.43 Depreciation 4,000 | 08 3,000 | 0.43 ‘Total operationg expenses (B) [~ 54,000__| 108 73,000_[ 10.43 Operating profit(A ~B) 121,000 | 24.2 117,000 | 16.71 Add: Operating ineome 20,000 4 15,000 | 2.14 (misslaneousincome) 141,000 | 282 7,32,000_| 18.86 Less: Non operating expensess|_25,000 5 30,000_| 4.28 Profit before tax 1,16,000 | 23.2 1,02,000 | 14.58 Les: Income tax. 20,000_| 4.0 18,000 | 2.58 Profitafiertax 96,000 | 19.2 84,000 [12.00 24. Rachana Education Trust, Bangalore Dr. Income and Expenditure A/c for the year ending 31.03.2014 Cr. Expenditure z & | Income x z ‘To office expense 22,000 Bysubscriptions | 50,000! —O/Sofficcexpenses | 5,000 | 17,000 | Add OF (2012-13) subscription 5,000] 55,000] ‘To Printing and stationary 600 | By Entrance 4,000 ‘To Salary 25,000 By Donations 6.000] — Prepaid salary 3,000 | 22,000 | By Interest 5,000] ‘To Subscriptionsto news paper 600 ‘To Dep-on Buildings 7,000 ‘To Surplus, 22,800 70.000 70.000] tpPUB, Balance sheet as on 31.03.2014 Liabilities z = | Assets z z Bank loan 35,000 Cashin hand 26,800 —Repaid 5,000 | 30,000 | Fumiture 25,000 Capital fund Buildings 70.000 Openingblanace —_|1,20,000 —Depreciation. 7,000 | 63,000 ‘Add: Entrance fee 4,000 Sports materials 20,000 Donations 6.000 Library book 30,000 Surplus 22,800 |1,52,800 | Add:Purchase | 10,000 | 40,000 OVS subscriptions 5.000 Prepaid salary 3,000 182,800 1,82,800 SECTION-D 25. Profit and loss appropriation account forthe year end 31.03.2014 Dr cr Particulars =| Particulars z To interest on capital By prot &lowAle 20,000 Pe 20,000.00 2,000 | By interest. on drawings Q- 30,000x42 3.000 | P 400 100 2 To Pssalary 6,000 | Q 600 (5,000 * 12) To Partners capital Ale P= 10,000 3,000 | 10,000 = 10,000%;5 21,000, 21,000 aPUE Balance sheet of co. Ltd as on. Sourees of funds (liabilities) Note | Amount! Amount z z Share holders fund Share capital 5 »~ Reservesand surplus 6 x Non current liabilites Secured loans, 7 ~ Unsecured loans - ~ x Total xx Application of funds (Assets) Note No. z z Fixed assets 8 «x Investments - x Current asets, loans and advances 9 ~ Less: Current liabilitie and provisions 10 x x Miscellanious expenses ul x Total xx ‘Comparative income statement for the year ended 31.3.2013 and 31.03.2014 Particulars BUSAS | 313.14 [Absolute increase [sage of Increase or decrease or decrease Net Sales '300.000 [i0,00.000 | 2.00000 Less: Cost of goods sold 500.000 | 600000 | _1,00000 Gross profit 3.00000 | 400.000 | 1.00000 Less: Operating expensess toe | 120000} 20000 ‘Add: Non-operating 200000 280,000 | san00 Income 3000 | 5000 2000 [Net profit before tax 23.000 | 285000 | ©.000 4039