Branch accounts problems and solutions pdf stock and debtors system

Branch accounting stock and debtors method slideshare. Zeenat is earning uniform rate of gross profit in all three. Debtorsopening 40,000 stockopening 25,000 goods sent to branch rs. From the following figures, prepare all the necessary accounts for. On 1 january 1986 stockintrade at the branch, valued at selling price, amounted to. Jagrat creation presents this video lecture on branch accounts which includes sum wherein profit is found under the stock and debtors. Branch stock ac branch stock ac at invoice price dr. Accounting problems on branch accounts branch accounts. The current accounts represent the branch account in the head office. In unit i you learnt about the systems of accounting for a dependent branch. Branch treats its head office as its creditor and head office treats its branch as its debtor. Branch accounts solutions to assignment problems problem no. Important terms branch stock it is unsold goods at a branch at the beginningend of the year.

Ledger accounts to be prepared branch stock ac branch debtors ac. Branch accountstock and debtor method by cacma santosh. In this article we will discuss about the top sixteen accounting problems on branch accounts with their relevant solutions. Branch accounts stock and debtors system lecture youtube. Let us learn about stock and debtors system of accounting for branch. Top 16 problems on branch accounts your article library.

Branch accounts stock and debtors system lecture 14 youtube. Branch accounting stock and debtor system advanced financial. This method helps the head office to make efficient control on branches as there are a few more accounts are to be opened viz. Branch accounts financial accounting book value scribd. Chapter 4 branch accounts format for books of head office branch account for the year ended dr. Ledger accounts to be prepared branch stock ac branch debtors ac branch expenses ac branch adjustment and profit and loss ac branch petty expenses ac 5. Explained the procedure to prepare branch accounts under debtors system with the help of a practical problem. Jagrat creation presents this video lecture on branch accounts which includes sum wherein profit is found under the stock and debtors system. Debtors method stock and debtors method final account method whole sale branch method 9. Branch stock adjustment account is prepared at invoice price. Goods sent or supplied to branch it is the goods supplied by the.

Branch accounting stock and debtor system advanced. Mahesh chandra sharma associate professor department of commerce shaheed bhagat singh eve. Under this method, branch and head office relationship is similar to debtor and creditors relationship. Particulars amount particulars amount to opening stock at branch xx by goods returned at branch xx to opening debtors at branch by bank account remittances to petty cash at branch xx cash sales xx xx to opening prepaid expenses received from debtors xx xx. Stock and debtors system is generally used when the goods are sent to the branch at. The kanpur shoe company opened a branch at delhi on 1st april 2010. From the following figures, prepare all the necessary accounts for the year ended 31st march, 2011 and delhi branch account for the year ended 31st march 2012. Loading it is the difference between invoice price and cost price. Prepare trading and profit and loss account and balance sheet in proper form after making the following adjustments. Leave bad and doubtful debts reserve at 5% on sundry debtors. Trading and profit and loss ac head office branch head office. In short, loading is to be computed on opening stock at branch, closing stock at branch, goods sent to branch, goods returned by branch, shortage of stock, surplus of stock, lostintransit, pilferage of stock, wastage of stock, or any normal and abnormal losses. This method is applicable particularly where there are large numbers of transaction and they are numerous. These are four methods of accounting for branch accounting.