Wustration 1 {when branch is authorised to sell only for cash] ll ALtd, with its Head Office in Bengaluru has a Branch at Mysure. You are given the following Particulars relating to Mysure Branch for the year ended 31.3.2014. Stock at Branch on 1.4.2013 332,600 Petty cash at Branch on 1.4.2013 a) Goods sent to Branch 45,600 Goods returned by the Branch 33,900 Cash sales at Branch 371,900 Cash sent to Branch for expenses: Salaries 312,800 Rent 33,000 Pettycash %2,600 18,400 Stock at Branch on 31.3.2014 : 237,100 790 Petty cash at Branch on 31.3.2014 Prepare Branch Account in the books of H.O. Rajee Bros. operate the retail branch at Bengaluru. All purchases m being charged out to the Branch at cost price. All cash received b y wwmbai. Branch petty expenses are paid out of an imprest which is reimbur: sme to time. From the following particulars relating to Bengaluru Branch epare Branch account in the books of the H.0. and ascertain profit: Balances on 1* April 2014: Stock at cost 8,000 Petty cash 800 Plant 10,000 Balances on 31% March 2015 Stock at cost 7,000 Goods sent to branch 50,000 Petty expenses paid by the branch out of imprest 2700. Cash sales during the year $70,000 Sale of plant on 1.4.2014 2800. (Book value of plant on the date of sate £900) +s.000 Expenses paid by the H.O. jeki’aieie soe en itis required to write off the plant at 20% p.a. Mlustration 3 [when closing debtors oe Zamana Ltd., Mysure opened a branch at Bengaluru on 1.4.2014. Branch is instructed to sel’ the goods both for cash and credit. All cash collections are to be remitted to H.O. sends cash to Branch to meet the expenses at Branch. From the following details, prepare Bengaluru Branch Account in H.O. Books. Also prepare Branch Debtors Account therein. ’ Stock of goods at Branch on 1.4.2014 5,000 Petty Cash on 1-4-2014 150 Furniture on 1-4-2014 2,500 Goods sent to Branch at cost 50,000 Goods returned from branch at cost 3,000 Expenses paid by H.0. 40,000 Cash sent by H.0. for petty cash aD Remittances from Branch Cash sales 2,500 Collections from debtors 3 Credit Sales 42,500 45,000 Closing Stock at Branch at cost on 30 September. 2014 uy Closing Petty Cash 17,000 Depreciate furniture at 10% p.a. 2 Discount allowed to debtors iyo [BU, [Link]. Avril 19951 llystvation 4 [when opening debtors is not given] XYZ Ltd. with its Head Office in Bengaluru has a Branch at Mysure. Goods are supplied to the Branch at cost. The expenses of the Branch are paid from Bengaluru and the Branch keeps a sales ledger and the Debtors ledger only. From the following information supplied by the Branch, prepare Branch Account and Branch Debtors Account in the books of Head Office. | ff Stock at Branch on 14,2014 16,700 Goods sent to Branch during the year 48,600 Total sales at Branch 78,300 Cash Sales 19,300 Cash Received from Debtors 54,400 Petty Cash at Branch on 1.4.2014 220 Goods returned by the Branch 5,900 Cash sent to Branch for expenses: Salary 13,200 Petty Cash 2,600 Rent 3,200 19,000 Stock at Branch on 31.3.2015 20,800 Petty Cash at Branch on 31.3.2015 200 18,300 Debtors at Branch on 31.3.2015 Solution:Mlustration 5 [when closing debtors isnot ven] Sa v From the following particulars, prepare the Mysure Branch Account in the books of Bengalyr, H.0. ‘Stock on hand at Branch 1.4.2014 10,000 Debtors at Branch 1,4.2014 4000 Petty Cash at Branch 1.4,2014 co Furniture at Branch 1.4.2014 2,000 Prepaid Insurance 1.4.2014. 150 Outstanding Salary 1.4.2014 100 Goods sent toBranch 80,000 Cash sales by Branch 1,30,000 Credit sales by Branch 40,000 Amount collected from debtors 35,000 Amount received by the H.0. directly from the branch debtors 2,000 Discount allowed to Branch debtors 100 Cash sent to Branch for Expenses- fo Rent 2,000 for Salaries 2,400 for Petty Expenses 1,000 for Insurance premium 600 6,000 (paid upto 30" June 2014 at the rate of 7600 p.a.) Goods returned to [Link] Branch tao Goods returned to branch by debtors ie Stock on hand at Branch on 313.2015 sam Petty Expenses at Branch Depreciation ‘on branch furniture is 10% p.i [8U, [Link], April 1993] - eS os 009 _/Mlustration 7 [when closing Debtors and Cash are not given > Nirmala Stores, Bengaluru is having its Branch at Kolar. Goods are supplied to the Branch Cost price. Branch has been instructed to sent all cash daily to the Head Office. All the expense: are paid by the Head Office except petty expenses which are met by the Branch Manager, Frontie following particulars prepare branch account in the books Nirmala Stores, Bengaluru, Stock on 1.4.2014 15,00) Sundry Debtors on 1.4,2014 9,000 Cash in hand on 1.4.2014 a ‘Office Furniture on 1.4.2014 1a Goods sent to Branch 5,0 Goods returned to Head Office 6,00 Goods returned by debtors a Cash received from debtors >not Cash Sales an Credit Sales “ Discount allowed to debtors Expenses paid by the Head Office Rent 1,200 Salary 12,400 30) Printing and Stationery "300 “4 Petty expenses paid by Branch Manager | _< Depreciation is to be provided on branch furniture at 10% p.a. Stock at Branch on 31.3,2015 16,000 Solution: n ra — — at Irene Mustration 8 [when closing debtors and petty cash at Branch arelnot rE, om the following particulars relatin ir Branch for the year ending 31“ March, 201 relating to Tumkur Branch Prepare Branch account i rr Vt the year ending 31™ March, 2015. t Stock at Branch on 1.4.2 Branch Debtors on 1.42004, ‘om Petty Cash at Branch on 1.4.2014 Furniture at Branch on 1.4.2014 Prepaid Insurance on 14.2014 Salaries outstanding on 1.4,2014 Goods sent to Branch Cash sales during the year Credit sales during the year Cash received from debtors Cash paid by the branch debtors direct to Head Office Discount allowed to debtors Cash sent to Branch for expenses; Rent Salaries Petty cash Insurance (upto 30 June 2015) Goods returned by the branchGoods returned by the debtors 7.10 Stock on 31" march 2015 6.00 Petty expenses paid by the branch 380 Provide depreciation on furniture at 10% p.a. Solution: A Shoe Company of Kanpur has its branch at Delhi.- Goods are invoiced to the branch at cost plus 258, Branch has been instructed to deposit daily all cash received by it in the H.O. except petty expense: which are met by the Branch Manager from the petty cash amount sent by the H.0. from time to time, From the following particulars, prepare Dethi Branch account in the books of the H.0. at Kanpur : v ‘The Branch sells the goods at the invoice price only. Stock on 1.4.2014 at invoice price 30,000 ‘Sundry Debtors on 1.4.2014 18,000 Cash in Hand on 1.4.2014 Ca Office Furniture on 1.4.2014 2.400 Goods invoiced from H.O. (invoice price) 1,60,000 Goods returned to H.O. (invoice price) 200 ‘Cash received from Debtors 60,000 ‘Credit Sales oO Discount allowed to Debtors neh Accounts 175 Goods returned by Debtors Expenses paid by H.0. For Rent 2,400 For Salary 4,800 For Printing & Stationery 00 Petty Expenses paid by the Branch Manager Depreciation is to be provided on branch furniture at 10% p.a. [Bengaluru University [Link] June 2009]