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How can be adjusted advances in the next year, shown at
liabilities side in last year balance sheet (these advances
in the name of unreal persons). status of firm - Pvt. Ltd.
Company . Nature of business is automobile service.
industry.
suggest me
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Answer / ramesh kumar
Debit - Provision for Advances A/c Dr.
credit- TATA motors Prt Ltd A/c Cr.
if we receive advances against TATA motors we can adjust the
credit sales or otherwise if any any item sold to customer
below entry applicable
Debit - Provision for Advances A/c Dr.
Credit - Sales a/c cr.
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Mr.Jadhike owns a fleet of taxis adn the following information are available from the records maintained b him: 1.Number of taxis 10 2.salary of manager 600pm 3.cost of each taxi 20000 4.salary of cleaner 500pm 5.salary of mechanic 400 pm 6.garage rent 600pm 7.insurance premium 5%pa 8.annual tax 600 per taxi 9.driver salary 200 pm per taxi annual repair 1000 per taxi total life of a taxi is about 200000 kms. a taxi runs in all 3000kms in a month of which 30% it runs empty. Petrol consumption in one litre for 10kms@1.80 per litre. Oil and other are rs 5 per 100 kms calculate the cost of running a taxi per km 5
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