(1) Provide allowances for depreciation on machinery for the year Rs.135,000. G) Allowance for bad debts Rs. 5,000 for the year. (is) Appropriate Rs.50,000 for plant extension and Rs. 40,000 for contingencies. (1) Declared cash dividend @ 10% on capital. REQUIRED INCOME STATEMENT STATEMENT OF REATINED ERANINGS, BALANCE SHEET
(1) Provide allowances for depreciation on machinery for the year Rs.135,000. G) Allowance for bad debts Rs. 5,000 for the year. (is) Appropriate Rs.50,000 for plant extension and Rs. 40,000 for contingencies. (1) Declared cash dividend @ 10% on capital. REQUIRED INCOME STATEMENT STATEMENT OF REATINED ERANINGS, BALANCE SHEET
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![X,Y Company Ltd was registered with an authorized capital of Rs.8,000,000 divided into
800,000 ordinary shares of Rs.10 each. The company's books showed the following balances on
June 30, 2011:
Title of Account
Cash in bank
Accounts receivable
Allowance for bad debts.
Office supplies
Merchandbe inventory 1.7.10
Prepaidinsurance
Machinery-cost
Allowance for depreciation-Machinery
Preliminary expenses.
Accounts payable
10% Bonds payable
Paid up capital
Retained ea mings
Sales revenue
Commission on income
Sales retum & allowance.
Purchases
Transportation-in
Purchases returns & allowances
Salaries expenses
Rent expenses
Income taxexpenses
Advertising expenses
Data for Adjustments on June 30, 201.
Debit
94,500,
150,000,
18,000
225,000
12,000
1,500,000,
10,000
20,000
900,000.
40,000
40,000
26,000
10,000
5,000
Credit
4,500
150,000
40,000
200,000
800,000
310,000
800,000
706,000
(g) Rent expenses for the year amounted to Rs. 30,000.
(h) Merchandise inventory was valued on June 30, 2011 at Rs.260,000.
(1) Provide allowances for depreciation on machinery for the year Rs.135,000.
G) Allowance for bad debts Rs. 5,000 for the year.
40,000
REQUIRED
INCOME STATEMENT STATEMENT OF REATINED ERANINGS,BALANCE SHEET
(is) Appropriate Rs.50,000 for plant extension and Rs. 40,000 for contingencies.
(1) Declared cash dividend @ 10% on capital.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F548f144b-9127-46bb-ba4e-7cbbebe00421%2Fb5d60ebd-5e40-4e4f-8a13-878e7b83b004%2Fxj73mdo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:X,Y Company Ltd was registered with an authorized capital of Rs.8,000,000 divided into
800,000 ordinary shares of Rs.10 each. The company's books showed the following balances on
June 30, 2011:
Title of Account
Cash in bank
Accounts receivable
Allowance for bad debts.
Office supplies
Merchandbe inventory 1.7.10
Prepaidinsurance
Machinery-cost
Allowance for depreciation-Machinery
Preliminary expenses.
Accounts payable
10% Bonds payable
Paid up capital
Retained ea mings
Sales revenue
Commission on income
Sales retum & allowance.
Purchases
Transportation-in
Purchases returns & allowances
Salaries expenses
Rent expenses
Income taxexpenses
Advertising expenses
Data for Adjustments on June 30, 201.
Debit
94,500,
150,000,
18,000
225,000
12,000
1,500,000,
10,000
20,000
900,000.
40,000
40,000
26,000
10,000
5,000
Credit
4,500
150,000
40,000
200,000
800,000
310,000
800,000
706,000
(g) Rent expenses for the year amounted to Rs. 30,000.
(h) Merchandise inventory was valued on June 30, 2011 at Rs.260,000.
(1) Provide allowances for depreciation on machinery for the year Rs.135,000.
G) Allowance for bad debts Rs. 5,000 for the year.
40,000
REQUIRED
INCOME STATEMENT STATEMENT OF REATINED ERANINGS,BALANCE SHEET
(is) Appropriate Rs.50,000 for plant extension and Rs. 40,000 for contingencies.
(1) Declared cash dividend @ 10% on capital.
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