Prepare Trading and Profit and Loss account from the following information for the year 31st...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Prepare Trading and Profit and Loss account from the following information for the year 31st December 2015.
Opening stock 5,500 Return outward 1,500
Purchases 18,400 Return inward 900
Manufacturing wages 4,400 General expenses 700
Sales 42,000 Discount allowed 800
Carriage inward 600 Discount Received 500
Carriage outward 700 Interest Received 450
Factory Rent 2000 Closing Stock 8700
Office Rent 1200.
a) Why is it necessary to record the adjusting entries in the preparation of final accounts?
b) While preparing final accounts, what treatment is made of prepaid expenses?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.