Financial Accounting

SUBMITTED BY
ALOK KUMAR BAJPAI
AMRITHA JS
NEIGEL G JOSEPH
MANISHA MEHTA
SHUBHAM MEHTA
YASHVARDHAN
Dawn Departmental Stores
Robert Brothers- Case Details
 Working Notes

 Expenses include Loan interest

@10 %

 Gross Profit = Sales- Expenses

= 5-4 = 1 Lakh
 Journal Subsciption for 6 months
=12,500

 Net profit = 1,00,000-12,500

= 87,500
 Lone Pine Café Case Details

 Working Capital = 16,000* 3 = $ 48,000

 Loan Amount = $ 21,000

 Equipment = $ 53,500

 Food & Beverages = $ 2,800

 Local License = $ 1428

 Cash Register = $ 1400

Q1. Lone Pine Café - A
 Working Notes
 Loan + 35,000 from capital =
equipment + Food and beverages
21,000+35,000 = 53,200 + 2,800

 Rest of the capital = 13,000

From that, bought cash register,
operating license
Remaining=13,000- 1400-1428

 Remaining capital as checking account

Hence, checking account = 10172

Q.2
 Working Notes

 Unsecured Loan = $ 21,000

Amount Repaid = $ 2100,  Theft Cash Register + Cash = 1711
Loan as on 31.3.2006 = $ 18,900
 Capital = Assets – Liabilities = 56668
 Prepaid license fees as on 31.3.2006 – (18900+1583-1711) = $34474
Amount payable per years is Rs 1428
as on 1st November.
So, Mr.Antoine’s capital = $11419
Less Amount expired on 31.3.2006
Mrs.Antoine’s Capital = $11419
= 1428/12*5 = $ 595
Mrs.Lander’s Capital = $11419
Amount o/s on 31.3.2006 = $ 833
 Q.3

Disregarding the marital complications, do you suppose

that the partners would have been able to receive their
proportional share of the equity determined in Q-2 if the
partnership was dissolved on march 30, 2006? Why?

 The partners would have been able to receive the

same in proportion of there equity because in the
event of dissolution of a partner-ship firm, the
surplus realised is divided among the partners
Q.1 Lone Pine Café - B
 Q.2

What does this income statement tell Mrs.Antoine?

 So it tells Mrs Antoine about the income position of

the firm. And that the firm is running into losses if
we consider the payments to the partners.
 But even if she was to carry on as a sole proprietory
she will have to appoint managers and pay salary to
the say. So it does not seem a good idea to carry on
with the cafe.
 Ajay Rawat Case Details

 Deposited 300 in bank

 Rent site for 45/- for 3 Saturdays

 Tent and Equipment for 110/-

 Merchandise for 305/-

 Revenue after first Saturday 605/-

 Q1.WellStore Enterprises

 Sources of Cash & Amounts

1. CAPITAL
Vardhaman =20,000
Aseem =20,000
Gautam =20,000

2. LOAN
Maharashtra Cooperative Bank Loan = 40,000

TOTAL =1,00,000
Q2.WellStore Enterprises
Q2.WellStore Enterprises