Rahul's trial balance provide you the following information:
Debtors                                Rs 8,000
Bad debts                            Rs 2,000
Provision for doubtful debts Rs 4,000
It is desired to maintain a provision for bad debts of Rs 1,000
State the amount to be debited/credited in profit and loss account:

If the rent of one month is still to be paid the adjustment entry will be

If the rent received in advance Rs 2,000. The adjustment entry will be :

If the opening capital is Rs 50,000 as on April 01.2014 and additional capital introduced Rs 10,000 on January 01.2015. Interest charge on capital 10% p.a. The amount of interest on capital shown in profit and loss account as on March 31.2015 will be :

If the insurance premium paid Rs 1,000 pre-paid insurance Rs 300. The amount of insurance premium shown in profit and loss account will be :

What are closing entries?

What are adjusting entries?

What is meant by closing stock?

How will you treat closing stock if it appears as a balance in the Trial Balance?

How will you treat outstanding expenses if they appear as balance in the Trial Balance?

How will you treat prepaid expenses if it appears as balance in Trial Balance?

How will you treat the adjustment of interest on drawings?

What is meant by provision for doubtful debts?

What is meant by provision for discount on debtors?

Manjeet purchases a machine costing Rs 90,000 and pays Rs 2,000 as freight and cartage. He is to depreciate the machinery @ 10%. What will be the amount of depreciation to be shown in Profit & Loss Account?

Why is it necessary to pass adjusting entries in final accounts?

How will you show closing stock in final accounts?

What is outstanding expenses ? What is its adjusting entries ?

How will you calculate commission payable to manager on profits?

What is goods sent for approval? How will you treat it in final account?

What is meant by provision for discount on debtors?

From the following Trial Balance of Rohit Sharma, prepare Trading and Profit & Loss Account for the year ending 31^st March 2016 and a Balance Sheet on the same date after making necessary adjustments :

Adjustments :
1. Closing stock was Rs. 16,000.
2. Wages Rs.2,000 and salaries Rs.1,200 are outstanding.
3. Rent for two months at the rate of Rs.500 per month is outstanding.
4. Depreciation Building by 5% and Machinery by 10%.
5. Prepaid insurance Rs. 200.

Show the treatment of following information in the Profit & Loss Account and Balance Sheet as on March 31,2014.

Following are balances from the trial balance of Mukesh Traders on 31st march, 2016:

Prepare Trading and Profit & Loss Account for the year ended 31st March, 2016 and Balance Sheet as at that date after taking into account the following adjustments :
(i) Closing Stock was valued at Rs 20,000.
(ii) Insurance was prepaid Rs 1,000.
(iii) Write off Rs 2,000 as Bad debt.
(iv) Depreciation to be provided on Land and Building @ 5% p.a. and on Plant and Machinery @ 10% p.a.
(v) Create provision for doubtful debts @ 5% on debtors.
(vi) Wages include Rs 4,800 for installation of a new machinery.