Mbusad 201 Financial Accounting Chapter 7 Task

Calculate Return on Investment. Stock-in-Trade costing ₹20,000 withdrawn for personal use. ₹ 30,00,000; Current Assets ₹ 12,50,000; Total Assets ₹ 20,00,000; Non-current Liabilities ₹ 10,00,000, Shareholders’ Funds ₹ 5,00,000. Credit Revenue from Operations ₹ 3,00,000; Cash Revenue from Operations ₹ 1,00,000, Gross Profit 25% of Cost, Closing Inventory was three instances the Opening Inventory. Opening Inventory was 10% of Cost of Revenue from Operations. Inventory Turnover Ratio 5 instances; Cost of Revenue from Operations ₹ 18,90,000.

Create Provision of 2% for low cost on debtors. For Bad and doubtful debts @ 5% on Sundry Debtors. The Balance sheet provision forbad and doubtful money owed must be adjusted. Prepare the adjusting entry to report what addressing information is recorded by a switch to build its mac address table? Bad Debts Expense using the estimate from part a. Assume the unadjusted balance within the Allowance for Doubtful Accounts is a $5,000 credit.

Relationship of Gross profit to Sales is called gross revenue ratio. E) Create a provision of 2% on debtors for unhealthy debts. Prepare the adjusting entry to document unhealthy debts expense using the estimate from part a. Assume the unadjusted steadiness within the Allowance for Doubtful Accounts is a $1,500 debit.

Directly but via provision for bad and uncertain money owed account. In adjusting the accounts on December 31, the corporate estimated that 1.50% of accounts receivable would be uncollectible. Received $1,245,800 money in fee of accounts receivable. Received $667,300 cash in cost of accounts receivable. Repeat assuming the corporate adjusts its accounts to the LIFO inventory methodology.

Calculate ‘Return on Investment’ of Y Ltd. Therefore, this higher ratio signifies the speed at which the agency is ready to acquire its debt effectively. ₹ 1,75,000 is the Credit Revenue from Operations,i.e.,Net Credit Sales of an enterprise. If Trade Receivables Turnover Ratio is eight occasions, calculate Trade Receivables in the Beginning and at the finish of the yr. Trade Receivables on the end is ₹ 7,000 greater than that to start with.