*Problem No. 3 (Exercise -01)

             Mr. Madhu is dealing in business. He maintain his accounting with Single entry. The following are details of his business.

Particulars	01-04-2015	31-03-2016
Land & Building Machinery Furniture Debtors Stock Cash Balance Bills Receivable Creditors Bank Overdraft Bank Balance	40,000 30,000 10,000 20,000 10,000 5,000 5,000 25,000 5,000 ---	60,000 40,000 10,000 40,000 25,000 15,000 5,000 25,000 --- 10,000

              Mr. Mangesh introduced 10,000 as additional captial. He spent 45,000 for personal use. Depreciate land & Building by 5,000. Provide 5% R.D.D on Debtors.

Prepare: Opening and  Closing Statement of affairs & the Statement of profit or loss.

(Ans.: Opening Capital 90,000, Closing Capital 1,80,000 Net Profit 1,18,000).

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*Problem No. 4 (Exercise -02)

                      Mrs. Ankita keeps her books under single entry system & given the following information.

Particulars	01-04-2015	31-03-2016
Investment Bank Overdraft Bills Payable Creditors Furniture Debtors Stock in Trade Bank Balance	--- --- 5,000 26,500 9,000 30,000 15,000 23,000	25,000 10,000 8,000 31,500 19,000 50,000 19,000 15,000

                       

                Mrs. Ankita withdrew 4,000 for her personal use. she received 15,000 from her father as gift, which she brought into the business.

  Additional furniture was purchased on 1^st  october, 2015. Depreciate furniture by 10% p.a.

Write off 1,000 as bad and provide 5% R.D.D. on Debtors.

Find the profit or loss of her business for the year ended 31^st march, 2016.

Hint : Depreciation is to be calculated for additional Furniture of Rs 10000  from October 2015 to March 2016 ie for 6 months only

(Ans.: Opening Capital 45,500,  Closing Capital 78,500,  Net profit 17,150.)