- One of your clients Mr. X asked you to finalize his account for the year ended 31st March, 2022. As a basis for audit, Mr. X -furnished – you with the following statement:
Dr. Cr. X’s Capital 4,668 X’s Drawings 1,692 Leasehold Premises 2,250 Sales 8,250 Due from customers 1,590 Purchases 3,777 Purchase Return 792 Loan from Bank 768 Trade Expense 2,100 Trade Payable 1,584 Bills Payable 300 Salaries and Wages 1,800 Cash at Bank 678 Opening Inventory 792 Rent and Rates 1,389 Sales Return 294 16,362 16,362 The closing inventory was 1,722. Mr. X claims that he has recorded every transaction correctly as the trial balance is tallied. Check the accuracy of the above trial balance and give reasons for the errors, if any.
[2022 May – 4 Marks]
Trial Balance Total: Rs.16,362
- From the following information, draw up a Trial Balance in the books of Shri M as on 31st March, 2021:
Particulars Amount (Rs.) Particulars Amount (Rs.) Capital 1,40,000 Purchases 36,000 Discount Allowed 1,200 Carriage Inward 8,700 Carriage Outwards 2,300 Sales 60,000 Return Inward 300 Return Outwards 700 Rent and Taxes 1,200 Plant and Machinery 80,700 Stock on 1st April 2020 15,500 Sundry Debtors 20,200 Sundry Creditors 12,000 Investments 3,600 Commission Received 1,800 Cash in Hand 100 Cash at Bank 10,100 Motor Cycle 34,600 Stock on 31 st March 2021 20,500 [2021 December – 5 Marks]
Trial Balance Total: Rs.2,14,500
- An inexperienced book- keeper has drawn up a Trial, balance for the year ended 31st March,2019
Particulars Debit (Rs.) Credit (Rs.) Provision for Doubtful Debts 250 Cash Credit Account 1654 Capital 4,591 Trade payables 1,637 Due from customers 2,983 Discount Received 252 Discount Allowed 733 Drawings 1,200 Office Furniture 2,155 Carriage Inward 829 Purchases 10,923 Returns Inward 330 Rent & Rates 314 Salaries 2,520 Sales 16,882 Inventory 2,418 Provision for Depreciation on Furniture 364 25,033 25,002 Draw up a corrected Trial Balance by debiting or crediting any residual errors to a Suspense account.
[2019 November – 5 Marks]
Suspense Account Balance 1,225; Total of Trial Balance: Rs.25,630