advance accounting


I

Iram

ap may say koi advance accounting k ye questions solve ker day ga its
urgent jitni b transections ho skain plzzzzz


Q.1 Ali and Ahmed carrying business separately as contractors
jointly take up the work of constructing a Research Complex of Yousaf
Tanneries Ltd, at an agreed price of Rs.250000 payable in cash Rs.
200000 and in fully paid shares of a company for balance Rs.50000. A
joint bank account is opened in which Ali and Ahmed paid Rs.62500 and
Rs.75000 respectively. The following expenses were incurred in
completing the construction and the contract price was duly received.

i) Wages paid Rs.75,000.

ii) Materials purchased for
Rs.50000.

iii) Material supplied by Ali
from his stock Rs.22500.

iv) Consulting Engineers fees
paid by Ahmed Rs.5000.

The accounts were closed. Ali taking up all the shares of the
company at an agreed value of Rs.40,000 and Ahmed taking the remaining
stock of materials at Rs.7,500. Profit or loss is shared by Ali and
Ahmed equally.
Required: Prepare the necessary ledger accounts
assuming that a separate set of books are maintained for the joint
venture transactions.

-------------------------------------------

Q. 2 Ahsan Seeds Limited was incorporated with a nominal capital of
Rs.10,00,000 composed of equity shares of Rs.10 each. The following
trial balance was extracted from the books as on 31st December
1993.




Dr. Rs. Cr. Rs.

Share Capital (fully called-
up)...................................
4,00,000


Stock......................................................................
1,00,000

Gross
Profit.............................................................
2,00,000

Sundry Debtors and
Creditors................................... 1,45,000
30,000

Fixed Assets (at cost):


Furniture........................................................
60,000

Motor
Car......................................................
21,000


Premises........................................................
2,00,000

Depreciation provision up to 31st December, 1992:


Furniture........................................................
10,000

Motor
Car......................................................
6,000


Premises........................................................
5,000


Salaries...................................................................
35,000

Printing and
Stationery............................................. 1000

Postage and
Telegrams............................................ 1,500

Motor Car
Expenses................................................
4,500

Investments in Shares (at
cost)................................. 15,000


Dividends................................................................
1,500

Audit
fee.................................................................
750

Directors
fee...........................................................
1200

Profit and Loss Account
31-12-1992......................... 26,000

Cash at
Bank...........................................................
91,680

Cash in
Hand...........................................................
1,870


Total:.....................................................................
6,78,500 6,78,500



The following further particulars are available:

Market value of shares as on 31st December 1993 Rs.16,000.

Depreciation to be provided on Furniture at 10% Motor Car at 20%.
Premises at 2.5%.

Provision to be made for: Taxation Rs.70,000; Proposed dividend at
15%.

You are required to draw up the:

Profit and Loss Account for the year 1993

Profit and Loss Appropriation Account.
Balance Sheet as the December 1993.
 
Ad

Advertisements


Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Top