NCERT Solutions

What are financial statements? What information do they provide.

What are closing entries? Give four examples of closing entries.

Discuss the need of preparing a balance sheet.

What is meant by Grouping and Marshalling of assets and liabilities. Explain the ways in which a balance sheet may be marshalled.

From the following balances taken from the books of Simmi and Vimmi Ltd. for the year ending March 31, 2017, calculate the gross profit.

Closing stock (₹) 2,50,000 Net sales during the year 40,00,000 Net purchases during the year 15,00,000 Opening stock 15,00,000 Direct expenses 80,000

Calculate the amount of gross profit and operating profit on the basis of the following balances extracted from the books of M/s Rajiv & Sons for the year ended March 31, 2017.

Opening stock 50,000 Net sales 11,00,000 Net purchases 6,00,000 Direct expenses 60,000 Administration expenses 45,000 Selling and distribution expenses 65,000 Loss due to fire 20,000 Closing stock 70,000

Operating profit earned by M/s Arora & Sachdeva in 2016-17 was ₹17,00,000. Its non-operating incomes were ₹1,50,000 and non-operating expenses were ₹3,75,000. Calculate the amount of net profit earned by the firm.

The following are the extracts from the trial balance of M/s Bhola & Sons as on March 31, 2017

(only relevant items) Closing Stock as on date was valued at ₹3,00,000.

You are required to record the necessary journal entries and show how the above items will appear in the trading and profit and loss account and balance sheet of M/s Bhola & Sons.

Prepare trading and profit and loss account and balance sheet as on March 31, 2017 :

Closing stock as on March 31, 2017 ₹22,400

The following trial balance is extracted from the books of M/s Ram on March 31, 2017. You are required to prepare trading and profit and loss account and the balance sheet as on date :

Closing Stock was not given in the question. Assuming the answer given in the book is correct, the closing stock must be ₹10,000 for the Balance Sheet to tally. This value will be used in the solution.

The following is the trial balance of Manju Chawla on March 31, 2017. You are required to prepare trading and profit and loss account and a balance sheet as on date :

Closing stock ₹ 2,000.

The following is the trial balance of Mr. Deepak as on March 31, 2017. You are required to prepare trading account, profit and loss account and a balance sheet as on date :

Closing stock ₹ 35,000.

Prepare trading and profit and loss account and balance sheet from the following particulars as on March 31, 2017.

Closing stock ₹ 30,000 .

From the following trial balance of Mr. A. Lal, prepare trading, profit and loss account and balance sheet as on March 31, 2017.

Closing stock ₹ 15,000.

Prepare trading and profit and loss account and balance sheet of M/s Royal Traders from the following balances as on March 31, 2017.

Closing stock ₹8,000

Prepare trading and profit and loss account from the following particulars of M/s Neema Traders as on March 31, 2017.

Stock on March 31, 2017 ₹16,000.

From the following balances of M/s Nilu Sarees as on March 31, 2017. Prepare trading and profit and loss account and balance sheet as on date.

Closing stock as on March 31, 2017 ₹22,000.

Prepare trading and profit and loss account of M/s Sports Equipments for the year ended March 31, 2017 and balance sheet as on that date :

Closing stock as on March 31, 2017 ₹2,500

What are the objectives of preparing financial statements ?

What is the purpose of preparing trading and profit and loss account?

Explain the concept of cost of goods sold?

What is a balance sheet. What are its characteristics?

What is an operating profit?