© 2006 Cisco Systems, Inc. All rights reserved. Cisco Public 1

Symbiosis Institute of Telecom Management

ACCOUNTING CONCEPTS

A.V.Chirputkar, Faculty - Finance, SITM.

M.Com. F.C.A. M.B.F. (ICAI), C.I.S.A. (USA)

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Final accounts Problem & Solution

Preparation of Final Accounts

TRIAL BALANCE FOR THE YEAR ENDED 31ST DECEMBER

Sr. No. Particulars Dr. Cr. A / LAmount Rs. Amount Rs. I / E

1 Capital 134502 Cash in Hand 14003 Bank Overdraft 93204 Sales 2364005 Purchases 1064006 Sales Returns 134007 Purchase Returns 29608 Carriage Outward 23609 Carriage Inward 1426010 Salaries 960011 Wages 366012 Sundry Debtors 1630013 Sundry Creditors 3736014 Stock on 1st January 9412015 Land and Building 1500016 Plant and Machinery. 2090017 Trade Expenses 2090

Total 299490 299490

Closing Stock Rs. 192100

Trading and Profit and Loss Account for the year ended 31st December……Particulars Rs. Rs. Particulars Rs. Rs.

To Opening Stock 94120 By Sales 236400To Purchases 106400 Less: Sales Returns 13400 Less: Purchase Returns 2960 223000

103440 By Closing Stock 192100To Wages 3660To Carriage Inward 14260To Gross Profit transferred to P & L A/c. 199620

Total 415100 Total 415100

To Carriage Outward 2360 By Gross Profit transferredTo Salaries 9600 from Trading A/c. 199620To Trade Expenses 2090To Net Profit transferred to Capital Account 185570

Total 199620 Total 199620

Balance Sheet As At 31st December…….Liabilities Rs. Rs. Assets Rs. Rs.

Capital Account 13450 Land & Building 15000Add: Net Profit transferred from P & L A/c. 185570 Plant & Machinery 20900

199020Cash in Hand 1400

Bank Overdraft 9320Closing Stock 192100

Sundry Creditors 37360Sundry Debtors 16300

Total 245700 Total 245700

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Case Study Final Accounts

Bharati Airtel Final Accounts 2011-2012:

1.Balance Sheet as at 31st March 2012 &

2.Statement of Profit & Loss Account for the year ended 31st March 2012.

Infosys Annual Report 2011-2012

1.Balance Sheet as at 31st March 2012 &

2.Statement of Profit & Loss Account for the year ended 31st March 2012.

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ACCOUNTING STANDARDS

Meaning of Accounting Standards

Need of Accounting Standards

Legal Framework for Accounting Standards in India

Applicability of Accounting Standards

Importance of Accounting Standards

Role of Accounting Standards in Final Accounts

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IFRS

International Accounting Standards (IAS)

AS Vs IAS

International Accounting Standard Board

IFRS used in preparation and presentation of Financial Statements

IFRS financial statements

Application of IFRS in India

Convergence Issues

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10Apr 7, 2023SITM

XBRL

Extensible Business Reporting language

Meaning and Importance

Application in India

www.xbrl.org/in