1. (a) From the Following unadjusted trial balance details Draw up Multiple step Income Statement for the year ended 31st December 2019. ( 3 marks) (table ) Trial Balance Debit RO CreditRO Sales 225,000 Sales returns 5,000 Cost of goods sold 85,000 *Selling expenses xxxxx Advertisement 7,000 Administrative expenses 12,000 Interst earned 25,000 Interst owed 5,000 Utilties expenses 9,000 Rent -Office 10,000 Depreciation- Office 9,000 Note: *Selling expenses amount will be taken your College ID Number (For Example Your College ID number is 41J 1425, take the Selling expenses as 1425). So every student should use your college ID Number. Answer in the next page. Multiple Income Statement for the year ended 31st Dec 2019. ans: (table) 1 (b) In the above question, payment of dividend is RO200, Pass all the Closing entries. (4 marks) 1(c) Differentiate between Service Industry income statement and Merchandising Income statement and how to compute cost of goods sold under perpetual and periodic system in your own words. ( 3marks) 2.(a)Compute Ending inventory and Cost of goods sold using LIFO inventory valuation method (3 Marks).

(table) Date Details Qty Rate RO Jan1 Beginning balance 200 12 2 400 Jan4 Purchases 300 16 4800 Jan6 Sales 350 25 8750 Jan10 Sales 50 30 1500

(ans in ) (table) Date /Details /Purchases/ Cost of Goods Sold/ Q R RO Q R RO

/Ending Inventory/ Q R RO 2.(b)Pass Journal entries under perpetual method. (3 marks) (ans in table ) Credit RO Debit RO Particulars Date 2 (c) State the Changes of making journal entries in the books of buyer and seller under periodic system. (4 marks)

Q1.(a)

From the Following unadjusted trial balance details Draw up Multiple step Income Statement for the year ended 31st December 2019. ( 3 marks) Trial Balance Debit RO CreditRO Sales 225,000 Sales returns 5,000 Cost of goods sold 85,000 *Selling expenses xxxxx Advertisement 7,000 Administrative expenses 12,000 Interst earned 25,000 Interst owed 5,000 Utilties expenses 9,000 Rent -Office 10,000 Depreciation- Office 9,000 Note: *Selling expenses amount will be taken your College ID Number (For Example Your College ID number is 41J 1425, take the Selling expenses as 1425). So every student should use your college ID Number.

Ans:1a) make table :of Multiple Income Statement for the year ended 31st Dec 2019. 1 (b) In the above question, payment of dividend is RO200, Pass all the Closing entries. (4 marks) 1(c) Differentiate between Service Industry income statement and Merchandising Income statement and how to compute cost of goods sold under perpetual and periodic system in your own words. ( 3marks)