The document provides details of profit and loss accounts and balance sheets for different businesses. It includes information on debiting expenses and crediting income, and shows examples of accounts with various income and expense line items.
The document provides details of profit and loss accounts and balance sheets for different businesses. It includes information on debiting expenses and crediting income, and shows examples of accounts with various income and expense line items.
The document provides details of profit and loss accounts and balance sheets for different businesses. It includes information on debiting expenses and crediting income, and shows examples of accounts with various income and expense line items.
The document provides details of profit and loss accounts and balance sheets for different businesses. It includes information on debiting expenses and crediting income, and shows examples of accounts with various income and expense line items.
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Profit and Loss A/C Particulars
To Opening Stock Rule 1 Debit all expenses and losses To Purchase Credit all gains and income "-"(Minus) Purchase Return To Wages 1 Now, All the debit balance will go in Expenses To Carriage Inward if not in expenses the will go in asset side of Balance sheet To Power 2 All the credit balance will go (Credit means income for P and L AC) To Gross Profit to Income side in P&L and if not the will go to liabilities side of the Balance sheet To Salaries For Study To Carriage Outward https://youtu.be/lRq58tmMpJc?si=cntrcgtn3aCBW4qg To Electricity Refer this video To Net Profit P and L Amount Particulars 50,000.00 Sales 140000 70000 (Minus) Sales Return 4000 2500 67,500.00 Closing Stock 15,000.00 8,000.00 5,700.00 17,800.00 164,000.00
17,800.00 Assets Amount Cash 5,200.00 Furniture and fixtures 7,500.00 Debtors 80,100.00 Bank Balance 4,200.00 Building 40,000.00 Plant And Machinery 20,000.00 Bills Receivable 6,000.00 Stock 28,000.00
191,000.00 # Video Link https://youtu.be/HH_TZ-3OM5Q?si=8lOsqY_7xswAE8GU
Dr P and L Cr # Particulars Amount Particulars Amount Opening Stock 5,000.00 Sales 95,000.00 Purchase 58,000.00 Closing Stock 8,000.00 Wages 4,500.00 Add:outstanding Wages 500.00 5,000.00 Gross Profit 35,000.00 103,000.00 103,000.00 Postage 250.00 Gross profit C/D 35,000.00 Salaries 4200 Add:outstanding Salaries 300 4,500.00 Discount 700.00 Bad debts 450.00 Interest 300.00 Insurance 600.00 Depreciation Machine and Building 2,100.00 Net Profit 26,100.00 35,000.00 35,000.00
Balance Sheet # Liabilities Amount Assets Amount Capital 38,000.00 Debtors 4,500.00 Add: Net Profit 26,100.00 64,100.00 Creditors 8,500.00 Machinery 12,000.00 Bills Payable 2,000.00 (Minus)Dep 10% 1,200.00 10,800.00 Loan 15,000.00 Building 18,000.00 Outstanding Salaries 300.00 (Minus)Dep @5% 900.00 17,100.00 Outstanding Wages 500.00 Fixture and Fittings 10,000.00 Land 40,000.00 Stock 8,000.00 90,400.00 90,400.00 https://youtu.be/OgpjFFEqL5E?si=uYWb53hLMFskjSIA https://youtu.be/S_5CLAgszg8?si=Rbex1vvJAY7_QEdD Video Reference Watch Mamagers Commission Again Note Managers Commission is given on net profit and is and expense
Dr P and L Cr Particulars Amount Particulars Amount Opening Stock 6,500.00 Sales 87,100.00 Purchase 42,000.00 Sub: Sales Return 1,300.00 85,800.00 Sub:Purchase Return 1,500.00 40,500.00 Closing Stock 13,500.00 Wages 14,000.00 Sub:Prepaid Wages 2,000.00 12,000.00 Fuel And Power 4,400.00 Carriage on Purchase 2,800.00 Gross Profit 33,100.00 99,300.00 99,300.00 Carriage on Sales 5,200.00 Commission 1,800.00 Salaries 18,000.00 Sub: Advance Commission 300.00 1,500.00 Outstanding Slary 6,000.00 24,000.00 Gross Profit C/D 33,100.00 General Exp 6,700.00 Net Loss 15,100.00 Insurance 1,700.00 Sub:Prepaid Insurance 200.00 1,500.00 Interest 1,000.00 Sub:Prepaid Interest 400.00 600.00 Depreciation on Patents 1,000.00 Depreciation on Machinery 2,000.00 Interest on Capital - 8,700.00
49,700.00 49,700.00 Liabilities Amount Assets Amount Capital 87,000.00 Patents 5,000.00 Add: Interest on Cap @1 8,700.00 Sub: Dep @20% 1,000.00 4,000.00 Sub : Drawings 7,400.00 Freehold Land 30,000.00 Sub: Net Loss 15,100.00 73,200.00 Machinery 20,000.00 SundryCreditors 7,600.00 Sub: Dep @10% 2,000.00 18,000.00 12% Loan 10,000.00 Goodwill 14,000.00 Outstanding Salary 6,000.00 Sundry Debtors 15,000.00 Advance Commission 300.00 Prepaid Wages 2,000.00 Prepaid Insurance 200.00 Prepaid Interest 400.00 Stock 13,500.00 97,100.00 97,100.00 https://youtu.be/pGymzuGAkJ8?si=5Pywhem1AEUZBSYH Cost Sheet Reference Video
Cost sheet is mostly related to expenses
there are two type of expenses Direct Exp and Indirect Exp. Direct means which is directly related to the Product or service we provide Direct Exp has three Heads Direct Material Exp Direct Labour Exp Direct Other Exp Indirect Exp aslo has the same heads
