Capital Purchases Sales Salaries Opening Stock Insurance Expense Rent Income Buildings Furniture Cash Debtors Other Expenses Creditors Commission Income Salaries Due Prepaid Insurance Rent Received in Adv Accrued Commission Depreciation Bad Debes written oll Closing Stock Net Profit Column Noes PRE-ADJUSTMENTS TRAIL BALANCE 400,000 362,460 261,540 48,140 43.070 8.,200 340,000 45.000 10,000 61,400 10,600 9,650 46.380 9.450 $27/950 7.050 N37.950 (0) (2) WORK SHEET YEAR END ADJUSTMENTS 3.500 Viso 2,050 4.500 3,070 15,970 (3) 2,050 4.500 3,070 1,200 3.500 1650 ADJUSTED TRAIL BALANCE 261,540 51.640 43,070 6,150 340,000 40,500 10,000 58.330 10,600 2.050 1,200 4.500 3.070 (5) 400,000 362.460 8,000 46.380 10,660 3.500 1,650 832.650 (6) INCOME STATEMENT 261,540 $1,640 43,070 6,150 10,600 4.500 3,070 50,630 431,200 (7) 362,460 8,000 10,660 50,080 431.200 (8) BALANCE SHEET 340,000 40.500 10,000 $8.330 2,050 1,200 50,080 502,160 (9) 43 330 UN p VLR 2. A Work Sheet In order to clearly see the impact of the various adjustments, at one glance, over the Profit and L Account and Balance Sheet, it is often considered helpful to draw up a statement called Work Sheet. work sheet usually has eleven columns, taking the following format: (a) FIRST TRAIL BALANCE (1) (2) YEAR END ADJUSTMENTS (3) (4) ADJUSTED TRAIL BALANCE (6) (5) INCOME STATEMENT (7) (8) BALANCE SHEET (9) (10)
Capital Purchases Sales Salaries Opening Stock Insurance Expense Rent Income Buildings Furniture Cash Debtors Other Expenses Creditors Commission Income Salaries Due Prepaid Insurance Rent Received in Adv Accrued Commission Depreciation Bad Debes written oll Closing Stock Net Profit Column Noes PRE-ADJUSTMENTS TRAIL BALANCE 400,000 362,460 261,540 48,140 43.070 8.,200 340,000 45.000 10,000 61,400 10,600 9,650 46.380 9.450 $27/950 7.050 N37.950 (0) (2) WORK SHEET YEAR END ADJUSTMENTS 3.500 Viso 2,050 4.500 3,070 15,970 (3) 2,050 4.500 3,070 1,200 3.500 1650 ADJUSTED TRAIL BALANCE 261,540 51.640 43,070 6,150 340,000 40,500 10,000 58.330 10,600 2.050 1,200 4.500 3.070 (5) 400,000 362.460 8,000 46.380 10,660 3.500 1,650 832.650 (6) INCOME STATEMENT 261,540 $1,640 43,070 6,150 10,600 4.500 3,070 50,630 431,200 (7) 362,460 8,000 10,660 50,080 431.200 (8) BALANCE SHEET 340,000 40.500 10,000 $8.330 2,050 1,200 50,080 502,160 (9) 43 330 UN p VLR 2. A Work Sheet In order to clearly see the impact of the various adjustments, at one glance, over the Profit and L Account and Balance Sheet, it is often considered helpful to draw up a statement called Work Sheet. work sheet usually has eleven columns, taking the following format: (a) FIRST TRAIL BALANCE (1) (2) YEAR END ADJUSTMENTS (3) (4) ADJUSTED TRAIL BALANCE (6) (5) INCOME STATEMENT (7) (8) BALANCE SHEET (9) (10)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
Subject/Course: Financial Accounting.
Note: A sample of a Worksheet is attached with the template, follow the sample/template. Provide workings of each and every step. If possible, attach the excel file with the solution.
Transcribed Image Text:Capital
Purchases
Sales
Salaries
Opening Stock
Insurance Expense
Rent Income
Buildings
Furniture
Cash
Debtors
Other Expenses
Creditors
Commission Income
Salaries Due
Prepaid Insurance
Rent Received in Adv.
Accrued Commission
Depreciation
Bad Debts written off
Closing Stock
Net Profit
Column Noes
PRE-ADJUSTMENTS
TRAIL BALANCE
261,540
48,140
43,070
8,200
340,000
45,000
10,000
61,400
10,600
400,000
(1)
362,460
9,650
46,380
9,460
827,950 827.950
(2)
YEAR END
ADJUSTMENTS
3,500
1,650
2,050
1,200
4,500
3,070
15,970
WORK SHEET
(3) |
2,050
4.500
3,070
1,200
3,500
1,650
15.970
(4)
ADJUSTED TRAIL
BALANCE
261,540
51,640
43,070
6,150
340,000
40,500
10,000
58,330
10,600
2,050
1,200
4,500
3,070
832,650
(5) T
400,000
362,460
8,000
46,380
10,660
3,500
1,650
832,650
(6)
INCOME
STATEMENT
261,540
51,640
43,070
6,150
10,600
4,500
3,070
50,630
431,200
(7)
362,460
8,000
10,660
50,080
431,200
(8)
BALANCE
SHEET
340,000
40,500
10,000
58,330
2,050
1,200
50,080
502,160
(9) T
400,000
46,380
3,500
1,650
50.630
502.60
A Work Sheet
In order to clearly see the impact of the various adjustments, at one glance, over the Profit and Los
Account and Balance Sheet, it is often considered helpful to draw up a statement called Work Sheet.
work sheet usually has eleven columns, taking the following format:
(a)
FIRST TRAIL
BALANCE
(1)
(2)
YEAR END
ADJUSTMENTS
(3)
(4)
ADJUSTED TRAIL
BALANCE
(6)
(5)
INCOME
STATEMENT
(7)
(8)
BALANCE
SHEET
(9)
(10)
Transcribed Image Text:2.
The following is the Trial Balance of Khalid Butt on 31st December 2005:
Capital
Land and Building
Purchases
Sales
Returns In and Out
Discounts allowed and received.
Salaries
Wages
Advertising
Insurance
Stationery
Interest
Rent
Cash
Stock
Debtors
Creditors
Furniture
Adjustments:
Dr. Rs.
40,000
86,215
2,364
1,007
18,131
6,227
1,025
1,833
1,024
13,227
14,522
22,300
28,200
236,075
Cr. Rs.
50,000
138,290
4,139
2,395
2,311
6,540
32,400
236,075
o Closing stock, Rs. 12,031.
O Salaries and wages are outstanding by Rs. 1,200 and Rs. 579 respectively.
o Advertising paid in advance, Rs. 225.
O
Unused stationery, Rs. 124.
O
Furniture to be depreciated by 15%.
O
2% of the debtors are doubtful.
Required: A Work Sheet and Trading and Profit & Loss Account and a Balance Sheet for Khalid Butt.
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