Final Accounts-Test 2

If the manager is entitled to a commission of 5% of profit before deducting this commission, He will get a commission of Rs.———

on a profit of Rs.8,400.

A trial balance contains the following information:

A) 15% Bank loan Rs.40,000

B) Interest paid Rs.4500

Interest debited to profit and loss account will be Rs.———–

In the trial balance are shown debitors Rs.2400, bad debits Rs.221, bad debts reserve Rs.324.For creating a reserve for doubtful debits at the rate of 10 % on debitors, the profit and loss account will be debited by ————

Sundry debtors given in the trial balance are Rs.20,000. further bad debts amounted to Rs.1000 and it is desired to create a provision of

5% on debtors for doubtful debts and 2% for discount.Sundry debtors will appear in the balance sheet at figure of Rs.———-

A trail balance contains debtors Rs.15,000, Bad debts Rs.400 and provision for doubtful debts Rs.600.Further bad debts given in

adjustment are Rs.400.If a provision at 5% is made on debtors, Profit and loss account will be debited with ———–

Income earned but not received is shown in ————

Bills receivable discounted but not due till the date of final account is shown in ————-

Opening Capital =Rs.50,000, Closing capital =52,000, Net profit during the year=5,000.

IF the above figures are drawn from the books of a trader, then his drawings if any are ————-

Opening capital =80,000, Closing capital =1,20,000, Net profit during the year =20,000

The trader has———-

Opening stock =Rs.40,000, Closing stock =Rs.50,000, Sales =Rs.70,000

Assuming there is no gross profit and direct expenses, The purchases made during the year are ———-

All those to whom business owes money are ————-

.Rent prepaid is shown as ———–

A club paid subscription fee of Rs.1400, out of which Rs.200 is prepaid. In such case ———–

Bank overdraft is a ———–

Which of the following are/ is not a fixed asset ——–

On 1 st January, 1999 , the balances on different accounts in the books of Bhushan were as follows:

Stock on hand =Rs.3500, Investments =Rs.3000, Loans from Ramji =Rs.3500,Owing by debtors =Rs.2500,Owing to creditors=Rs.1500, Plant and Machinery =Rs.300, Bills payable =Rs.1250, Cash at Bank =Rs.2000. The amount of capital of Bhushan

on this date was Rs.———-

The balance sheet gives information regarding the ————

The book of accounts of Z ltd shows that the balance of sundry debtors is Rs.50,000 and reserve for doubtful debts is Rs.2000.

Later the management of the company realize that the debt to the extent of Rs.1000 will become bad and hence decided to create a reserve at 5% on debtors. The amount of reserve for doubtful debts to be shown in profit and loss accounts is ————

The purpose of preparing final accounts is to ascertain ———–

Balance sheet is prepared to ascertain———-

Final accounts are prepared ————-

Interest on capital is ———-

Interest on drawing is ————

Trade discount allowed on the sales, if appearing in the trial balance is shown in the final accounts——-

Income Tax paid by a sole trader is shown ————

While making an adjusting entry in respect of closing stock , we debit ———–

While making an adjusting entry in respect of interest on capital, We credit ———–

Trading is a ————

The withdrawal of goods from the business by the proprietor should be debited to ——–

Goods given as charity should be credited to ———–