Chapter-10 ➤ Financial Statements 2

1. Closing Stock is valued at Cost or Net Realisable Value (Market Value), whichever is less because of

2. Accrued Income, if given outside the Trial Balance, is shown in

3. Sundry debtors given in the Trial Balance are Rs.20,000. Further bad debts amounted to Rs.1,000 and it is desired to create a provision of 5% on debtors for doubtful debts and 2% for discount. Sundry Debtors will appear in the Balance Sheet at a figure of:

4. Income tax paid by a sole trader is reflected in his financial statements:

5. Depreciation for current year in the Trial Balance is shown in

6. General Manager gets 10% commission on net profit after charging such commission. Gross Profit Rs.70,000 and general expenses other than manager’s commission are Rs. 12,000. Commission amount will be :

7. Provision for Doubtful Debts is made on the debts that are

8. Outstanding Salary is _ account:

9. If closing stock appears in Trial Balance then it will be appearing in:

10. A’s Trial Balance provides you the following information:
Bad Debts Rs.3,000
Provision for Bad Debts Rs.5000
It is desired to maintain a provision of Rs.1,500 for doubtful debts, the amount to be recorded in P & L A/c will be: