Full Marks: 100 Time: 75 Mins
1. Following are the salary details of InfoTech Pvt. Ltd. Kolkata for the month of Feb’23. Pass
the necessary journal entries in the books of the company. [30]
Earnings Deductions
Sl. No. Employee Name Basic DA HRA Gross P.F ESI P Tax TDS Net Salary
Salary
1 Akash Gupta 5,000 2,000 1,500 8,500 840 64 - - 7,596
2 Anil Mahato 8,000 4,000 3,200 15,200 1440 114 130 - 13,516
3 Sunil Mukherjee 7,000 2,800 2,100 11,900 1176 89 110 - 10,525
4 Pranish Sharma 7,000 3,500 2,800 13,300 1260 100 110 - 11,830
5 Deepak Singh 13,000 5,200 3,900 22,100 - - 130 69 21,901
6 Sunil Mehra 11,000 5,500 4,400 20,900 1980 157 130 171 18,462
51,000 23,000 17,900 91,900 6,696 524 610 240 83,830
Note: Salary becomes due on the last day of the month and is paid on the first day of the following
month.
The company has made statutory payments as follows:
TDS - 05/03/2023
PF - 10/03/2023
ESI - 10/03/2023
P Tax - 12/03/2023
2. The following is the Trial Balance of Sunshine Ltd. as on 31 st March, 2023: [30]
Particulars Amount (₹) Particulars Amount (₹)
Stock as on 1st March, 75,000 Purchase Return 10,000
2022
Purchases 2,45,000 Sales 3,40,000
Wages 30,000 Discount 3,000
Carriage 950 Profit and Loss Account 15,000
Furniture 17,000 Share Capital 1,00,000
Salaries 7,500 Creditors 17,500
Rent 4,000 General Reserve 15,500
Sundry Trade Expenses 7,050 Bills Payable 7,000
Debtors 27,500
Plant & Machinery 29,000
Cash at Bank 55,200
Patents 4,800
Bills Receivable 5,000
5,08,000 5,08,000
Prepare the profit and loss account for the year ended 31st March, 2023 after considering the
following adjustments:
a) Stock as on 31st March, 2023: Rs. 88,000
b) Provide for Income Tax @30%
c) Depreciation is to be charged on plant and machinery and Furniture @ 15% and 10%
d) Provide Rs. 510 for doubtful debt
e) Dividend paid out of Retained Earnings: Rs. 9,000
3. The following ratio and information relate to the business of Simran Trading Co.: [20]
a) Credit period allowed to debtor – 2 months
b) Stock turnover ratio – 8 times
c) Credit period allowed by suppliers – 1 month
d) Gross Profit Ratio – 25%
e) Opening Stock – Rs. 1,50,000
f) Gross Profit for the year – Rs. 3,00,000
Find out – (i) Sales; (ii) Closing Stock; (iii) Sundry Debtors; (iv) Sundry Creditors
4. The Trial balance of XYZ Ltd. as on 31 st March, 2023 shows the following items: [20]
Particulars Amount (Dr.) Amount (Cr.)
Advance Income Tax (AY 2022-23) 2,00,000
Advance Income Tax (AY 2023-24) 1,30,000
Provision for Income Tax (AY 2022-23) 1,80,000
Adjustments:
a) The Income tax Assessment for AY 2022-23 has been completed during the financial year
2022-23 and the gross tax liability has been fixed at Rs. 2,20,000. No effect has been given
to this in the accounts.
b) Provision for income to be made for Assessment Year 2023-24 is Rs. 1,20,000.
Pass necessary journal entries.
