Trading Account Format

Particulars Amount Particulars Amount

To opening stock By sales

To purchase Less: Returns

Less: returns By Closing stock

To direct expenses:

Freight & carriage

Custom & insurance

Wages

Gas, water & fuel

Factory expenses

Royalty on production

To Gross profit c/d

 Prepare a trading account for the year ending March 31, 2016, from the following particulars:

Particulars Amount Particulars Amount

Stock (April 1, 2015) 20,000 Octroi duty 75

Drawings in goods by the

Cash purchases 30,000 500
proprietor

Expenses of taking
Credit purchases 20,000 25
delivery

Goods are given as

Purchases returns 1,000 100
charity

Cash sales 40,000 Carriage inward 1,450

Goods are given in

Credit sales 30,000 100
samples free of charge

Goods sent on
Loss of goods by fire 1,500 1,500
consignment at cost

Wages 400 Rent and taxes 500

Returns inwards 2,000 Discount 200

Commission on purchase 100 Commission 400

Closing stock 3,500 Travelling exp. 700

Particulars Amount Particulars Amount

By Goods sent on consignment

To opening stock 20,000 1,500
a/c

To purchase By sales

Cash purchase 30,000 30000 Cash sales 40000

Credit purchase 20,000 20000 Credit sales 35000

Less: Return outward 1,000 (1000) Less: Return inward (2000) 68000

Drawings 500 (500)

Goods as charity 100 (100)

Goods as sample 100 (100) 48300

To carriage inward 1,450 By P&L A/c (Loss by fire) 1,500

To wages 400 By closing stock 3,500

To commission on purchases 100

To Octroi duty 75

To Expenses of taking delivery 25

To Gross profit transferred to P.&LA/c 4,150

74,500 74,500