Cost centres:
Ex-1
M/S Ganesh Fashion stores has 2 different departments
1) Gents department
2) Ladies department
1) Opening Balances
a) Cash Rs.1,00,000/-
b) Capital Rs.1,50,000/-
2) Purchase goods of Rs.20,000/- in cash for Gents Department Rs.8,000/- & for Ladies Department
Rs.12,000/-
3) Sold goods in cash Rs.25,000/- for Gents Department Rs.10,000/- & for Ladies Department
Rs.15,000/-
4) Purchase Machinery by Gents Department for cash Rs.5,000/-
5) Deposited Rs.25,000/- with Janata Bank.
6) Received Commission by Gents DepartmentRs.6,000/-
7) Paid Electricity Charges Rs.6000/- for Gents Department Rs.2,000/- & for Ladies Department
Rs.4,000/-
8)Paid Salary worth Rs.30,000/- for Gents Department Rs.22,000/- & for Ladies Department
Rs.8,000/-
Ex-2
M/S Ganesh Fashion stores has 4 different departments
1) Food department
2) Medicine department
3) Toys Department
4) Cosmetic Department
1. Opening Balances
a) Cash Rs.2,00,000/-
b) Bank Rs.1,25,000/-
c) Capital Rs.3,00,000/-
2. Purchase goods of Rs.30,000/-in cash for Food department Rs.10,000/- Medicine department
Rs.10,000/- Toys department Rs.5,000/- Cosmetic departmentRs.5,000/-
3. Sold goods to cash Rs.50,000/- for Food department Rs.10,000/- Medicine department Rs.10,000/-
Toys department Rs.15,000/- Cosmetic departmentRs.15,000/-
4. Purchase Machinery by for Food department Rs.10,000/- Toys departmentRs.8,000/-
5. Paid electricity charges Rs.40,000/- for Food department Rs.10,000/- Medicine department
Rs.7,000/- Toys department Rs.13,000/- Cosmetic departmentRs.10,000/-
6. Paid advertisement expenses worth Rs.20,000/- for Food department Rs.6,000/-Medicine
department Rs.4,000/- Toys department Rs.6,500/- Cosmetic departmentRs.3,500/-
[Link] commission by for Food department Rs.10,000/- Toys departmentRs.15,000/-
Cash withdrawn by Janata Bank worth s.50,000/-
Journal entry:
Ex-1
01/04/2008 Started business with cash Rs.25,000/- Furniture Rs.20,000/- & Building Rs. 1,55,000/-
02/04/2008 Purchased goods from X for cash Rs.10,000/-
02/04/2008 Sold goods to Y for cash Rs.12,000/-
04/04/2008 Purchased goods from Mandar on credit Rs.5,000/-
04/04/2008 Sold goods to Sanjay on credit Rs.7,000/-
07/04/2008 Purchased Machinery for cash Rs.10,000/-
07/04/2008 Opened a Bank account in Bank Of India with depositing Rs.5,000/-
10/04/2008 Taken a loan from Janata Bank Rs.1,50,000/-
12/04/2008 Purchased goods from X on credit Rs.10,000/-
13/04/2008 Sold goods to Y in credit Rs.15,000/-
15/04/2008 Bills Receivable from Y Rs.15,000/-
16/04/2008 Issued Bills Payable to X Rs.10,000/-
20/04/2008 Returned goods to Mandar Rs.1,000/-
21/04/2008 Received goods returned by Sanjay Rs.2,000/-
23/04/2008 Withdrawn from Bank Rs.20,000/-
24/04/2008 Paid Sanjay Rs.4,000/- & Wages Rs.2,000/- in cash
27/04/2008 Received commission Rs.3000/-
28/04/2008 Paid electricity charges by cheque Rs.1,000/-
Stock problems:
Ex-1
1. Purchase goods from X for cash Rs.10,000/-(30 Shirts @ Rs.150 each,20 T-Shirts @ Rs.100 each, 10
jackets @ Rs.350each)
2. Sold goods to Y for cash Rs.12,000/-(20 Shirts @ Rs.250 each,15 T-Shirts @ Rs.200 each, 8 Jackets
@ Rs.500each)
3. Purchased goods from Mandar in credit Rs.5,000/-(10 Trousers @ Rs.500 each)
4. Sold goods to Sanjay on credit Rs.7,000/-(8 Shirts @ Rs.250each, 5 T-Shirts, @Rs.200 each, 1 Jacket
@ Rs.400 each,6 trousers @Rs.600 each.)
5. Purchased goods from X on credit Rs.10,000/-(20 Shirts @ Rs.150 each, 20 T-Shirts @ Rs.100 each,
10 Trousers @Rs.500 each)
6. Sold goods To Y on Credit Rs.15,000/-(22 Shirts @ Rs.250 each, 15 T-Shirts @ Rs.200 each, 1 Jacket
@ Rs.500each,10 Trousers @ Rs.600 each)
[Link] goods to Mandar Rs.1,000/-(2 Trousers of Rs.500 each).
[Link] goods returned by Sanjay Rs.2,000/-(2 T-Shirts @ Rs.200 each, 1 Jacket @ Rs.400 each, 2
Trousers @ Rs.600each)
Ex-2
1. Purchased goods from M/S Ravindra & Sons
Stock Rate Amount
Sugar 450bgs Rs.120/-
Wheat 520bgs Rs.156/-
Tea 550bgs Rs.122/-
2. Sold goods to M/S Navin & co.
Stock Rate Amount
Coffee 550bgs Rs.200/-
Salt 600bgs Rs.60/-
Milk 450ltr Rs.120/-
3. Purchase goods from Ganesh General Stores
Stock Rate Amount
Groundnut Oil 520kg Rs.150/-
Seed Oil 550kg Rs.120/-
Sunflower Oil 460kg Rs.135/-
4. Returned goods to M/s Ravindra & Sons
Stock Rate
Sugar 50bgs
Wheat 20bgs
Tea 60bgs
5. M/s Navin Returned Goods to us
Stock Rate
Coffee 45bgs
Salt 60bgs
Milk 50lt
6. Purchased goods from M/S Surya Silk
Stock Rate Amount
A Grade Saree 220pcs Rs.1800/-
A Grade Saree 620pcs Rs.1500/-
A Grade Saree 560pcs Rs.1220/-
7. Sold goods to Amrut Stationery
Stock Rate Amount
Reynold Gel Pen 180bxs Rs.20/-
Natraj Pencil 200bxs Rs.6/-
Sketch Pens 120bxs Rs.12/-
8. Purchase goods from Ganesh General Stores
Stock Rate Amount
Groundnut Oil 520kg Rs.150/-
Seed Oil 550kg Rs.120/-
Sunflower Oil 460kg Rs.135/-
9. Returned goods to M/s Ravindra & Sons
Stock Rate
Sugar 50bgs
Wheat 20bgs
Tea 60bgs
10. M/s Navin Returned Goods to us
Stock Rate
Coffee 45bgs
Salt 60bgs
Milk 50lt
TDS:
Ex-1
1. Sundry Creditors : Roy Services
Indirect Expenses : Technical Services
Duties & Taxes : TDS on Technical Services
Total Expenses : 30,000/-@12%2.
2. Sundry Creditors : Vikash Agarwal
Indirect Expenses : Rent
Duties & Taxes : TDS on Rent
Total Expenses : 20,000/-@24%
3. Sundry Creditors : Banik Publishing LTD.
Indirect Expenses : Advertising Contracts
Duties & Taxes : TDS on Advertising Contracts
Total Expenses : 10,000/-@8%
4. Sundry Creditors : Sumit Advertising Agency
Indirect Expenses : Advertisement Expenses
Duties & Taxes : TDS on Advertisement Expenses
Total Expenses : 30,000/-@12%
VAT
1. Purchased goods from Dilip & Sons. @4% VAT
Big Exercise Book 250pcs Rs.50/-
Medium Exercise Book 300pcs Rs.20/-
Small Exercise Book 310pcs Rs.15/-
2. Sold to Epic Book Stall @4%VAT
Drawing Book 110pcs Rs.55/-
Big Exercise Book 150pcs Rs.48/-
[Link] goods from K&B Traders @4%VAT
Fountain 150pcs Rs.30/-
Big Exercise Book 200pcs Rs.25/-
[Link] goods to Kalpataru Stores @4%VAT
Crayon Pastel Color 80bxs Rs.32/-
Camel Water Color 40bxs Rs.90/-
Faber Castell Postal color 50bxs Rs.150/-
5. Purchase goods from Kala Stores @4% VAT
Raw Jute 20kg Rs.30/-
Camel Water Color 10kg Rs.20/-
Faber Castell Postal color 50roll Rs.10/-
6. Kalpataru Stores return goods to us
Crayon Pastel Color 20bxs Rs.32/-
Camel Water Color 10bxs Rs.90/-
7. Returned goods to Kala Stores
Raw Jute 2kg Rs.30/-
Camel Water Color 1kg Rs.20/-
Faber Castell Postal color 27roll Rs.10/-
Ex-2
1. Purchased goods fro Mr. A for following goods
Small Exercise Book 100pcs Rs.25/-
Medium Exercise Book 150pcs Rs.20/-
Input Vat @ 12.5%
2. Sold goods to Mr. B for following goods
Navnit Book 200pcs Rs.50/-
Nivels 120pcs Rs.100/-
Output Vat @ 12.5%
3. Return goods to Mr. A for following goodsSmall
Exercise Book 50pcs Rs.25/-
Medium Exercise Book 20pcs Rs.20/-
4. Mr. B returns the following goods
Navnit Book 50pcs Rs.50/-
Nivels 20pcs Rs.100/-
5. Purchase goods from Ganesh General Stores
Sugar 300bgs Rs.185/-
Wheat 100bgs Rs.50/-
Salt 200bgs Rs.75/-
@ 4% Input Vat
[Link] goods to Tata Tea Company
A Garde Tea 150bgs Rs.120/-
Coffee 125bgs Rs.75/-
Golden Tea 175bgs Rs.150/-
@4% Output Vat
Order:
1. Company placed a purchase order on 1/4/2007(order no.2531) to Mandar & Sons for the following
goods.
Pencil 300dz @Rs.10 each
Pen 250dz @ Rs.12 each
2. Company placed another purchase order on 3/4/2007(order no.445) to Giridhar &company for the
following goods
Navnit Book 320pcs Rs.25/-
Nivels 150pcs Rs.20/-
3. Received an order from Jai & Sons for the following goods.
Gel Pen 120dz Rs.15/-
Fountain Pen50dz Rs.20/-
4. Issued an order to M/s Adidas & company