Page 40 - VIRANSH COACHING CLASSES

Balance Sheet as on 31 March, 2019
st
Liabilities Amount Amount Assets Amount Amount
` ` ` `
Capitals : Motor Van 40,000
Rucha 1,25,423 Less : Depreciation 5% 2,000 38,000
Juili 62,211 1,87,634 Plant and Machinery 13,800
Outstanding Wages 800 Less : Depreciation 7% 966 12,834
Sundry Creditors 22,000 Debtors 62,000
Add : Unrecorded 6,000 28,000 Add: Unrecorded Sales 6,000

Purchases 68,000
Bills Payable 12,000 Less : R.D.D. 5% 3,400 64,500
Closing Stock 88,000
Prepaid Advertisement 2,000
Freehold Property 23,000
2,28,434 2,28,434

Dr. Partners Capital Account Cr.
Particulars Rucha Juili Particulars Rucha Juili
` ` ` `
To Drawings 3,000 2,000 By Balance b/d 80,000 40,000
To Balance c/d 1,25,423 62,211 By Profit and Loss A/c 48,423 24,211
1,28,423 64,211 1,28,423 64,211
By Balance b/d 1,25,423 62,211

Working Notes :
(2) Advertisement Expenses are paid for 2 Years , so expenses of one year ` 2000 are prepaid.
Prepaid Expenses (Advertisement) is treated as an Asset. The amount of prepaid should be
deducted from total amount of Advertisement in Profit and Loss Account.

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