Preparation of Trading, Profit And Loss Account - SS1 Accounting Lesson Note
The trial balance is drawn from the books of Ayo’s concept for the year ended 31 December 2022. Prepare a trading, profit and loss account given closing stock as ₦7500.
|
Dr. ₦ |
Cr. ₦ |
|
|
Capital Furniture Opening stock Purchases Return outwards Transport expenses Carriage inwards Carriage outward Return inwards Discount received Salaries Debtors Creditors Cash in hand Drawings Sales Discount allowed |
21000 15300 37900 5600 1500 2000 6800 3250 23550 3700 12000 5000 250 137850 |
64500 4500 300 14550 54000 137850 |
Answer:
Statement of profit and loss
For the year ended 31 December 2022
Sales Less: Return Inwards Net Sales Cost of Goods Sold Opening Stock Add: Purchases Less: Return Outwards Freight Inward Cost of Goods Available Less: Closing Stock Cost of Goods Sold Gross Profit Operating Expenses: Salaries Discount Allowed Discount Received Carriage Outward Transport Expenses Net Operating Expenses Net Profit |
(₦) 6,800 15,300 37,900 4,500 1,500 7,500 23,550 250 3,250 2,000 5,600 |
(₦) 54,000 47,200 49,200 41,700 5,500 34,650 20,150 |