$($ii$)$ Nagpur Branch Debtor

$($iii$)$ Nagpur Branch Adjustment Account.

$[$Ans$.$ Gross Profit $1,12,000,$ Net Profit

Ram Limited of Chennai has a branch at Nagpur to which office, goods are invoiced at

plus $25\%.$ The branch makes$-$sales both for cash and on credit. Branch expenses are

direct from Head Office and the branch has to remit all cash received into the Head

Bank Account at Nagjur.

From the following details, relating to the yecounts in Head

Office Ledger and ascertain Brannts, but sends weekly returd debtors method. Branch does

not maintain any books of accounts,

$[$Ans Surplus in Stock AVc $4,800,$ Gross Profit $25,920,$ Net Profit $7,120]$