1. BOOK KEEPING &
ACCOUNTANCY
PARTNERSHIP FINAL
ACCOUNTS
(Adjustments & their effects)
Ajay Janardan Gursale. ( M.Com.B.Ed.)
1

2. 1. CLOSING STOCK
DR.
Trading A/c
Particulars
Amt
Cr.
Particulars
By Closing Stock
Amt.
****
Balance sheet
Liabilities
Amt.
Assets
Closing Stock
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
****
2

3. 2. OUTSTANDING WAGES
DR.
Trading A/c
Particulars
Amt
To Wages
***
Particulars
Amt.
****
Add : Outstand. wages
Cr.
****
Balance sheet
Liabilities
Outstanding Wages
Amt.
Assets
Amt.
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
3

4. 3. PREPAID / ADVANCE FACTORY RENT
DR.
Trading A/c
Particulars
To Factory Rent
Less : Prep./ Adv. Rent
Amt
Cr.
Particulars
Amt.
****
***
****
Balance sheet
Liabilities
Amt.
Assets
Prepaid Factory Rent
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
***
4

5. 4. OUTSTANDING SALARY(Exp.)
DR.
Profit & Loss A/c
Particulars
To Salary
Add : outstand. Salary
Amt
Cr.
Particulars
Amt.
****
***
****
Balance sheet
Liabilities
Outstanding Salary
Amt.
Assets
Amt.
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
5

6. 5. PREPAID INSURANCE (Exp.)
DR.
Profit & Loss A/c
Particulars
To Insurance
Less : Prepaid Insurance
Amt
Cr.
Particulars
Amt.
****
***
****
Balance sheet
Liabilities
Amt.
Assets
Prepaid Insurance
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
***
6

7. 6.Deffered Advertisement Exp.
DR.
Profit & Loss A/c
Particulars
Amt
To Advertisement Exp
****
Particulars
Amt.
****
Less : Deff.Advt.Exp
Cr.
***
Balance sheet
Liabilities
Amt.
Assets
Deferred Advt. Exp
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
****
7

8. 7. Outstanding / Accrued Income
DR.
Profit & Loss A/c
Particulars
Amt
Cr.
Particulars
Amt.
By Interest Recd
****
Add : O/stand Int.
***
****
Balance sheet
Liabilities
Amt.
Assets
Outstanding Interest
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
***
8

9. 8. Advance Income
DR.
Profit & Loss A/c
Particulars
Amt
Cr.
Particulars
To Income
Less : Adv. Income
Amt.
****
***
****
Balance sheet
Liabilities
Advance Income
Amt.
Assets
Amt.
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
9

10. 9. Depreciation on Machinery
DR.
Profit & Loss A/c
Particulars
To Depre. On Machine.
Amt
Cr.
Particulars
Amt.
***
Balance sheet
Liabilities
Amt.
Assets
Machinery
Less : Depreciation
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
****
***
****
10

11. 10.Goodwill Written off.
DR.
Profit & Loss A/c
Particulars
To Written off Goodwill
Amt
Cr.
Particulars
Amt.
***
Balance sheet
Liabilities
Amt.
Assets
Goodwill
Less : Written off
Ajay Janardan Gursale. ( M.Com.B.Ed.)
Amt.
****
***
****
11

12. 11. Accrued Interest on Loan Given
(Asset)
DR.
Profit & Loss A/c
Particulars
Amt
Cr.
Particulars
Amt.
By Accrued Interest
***
Balance sheet
Liabilities
Amt.
Assets
Amt.
Loan Given to Others
****
Add : Accrued Interest
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
****
12

13. 12. Salary to Partners
DR.
Profit & Loss A/c
Particulars
Amt
To Salary to Partner A
***
Particulars
Amt.
***
Salary to Partner B
Cr.
Dr.
****
Partner’s Capital A/c
Particulars
A
B
Particulars
By P & L A/c
Cr.
A
***
B
***
( Salary to Partner)
Ajay Janardan Gursale. ( M.Com.B.Ed.)
13

14. 13.Interest on Capital
(Expenses of Business)
DR.
Profit & Loss A/c
Particulars
Amt
To Interest on Capital A
***
Particulars
Amt.
***
Interest on Capital B
Cr.
Dr.
Particulars
****
Partner’s Capital A/c
A
B
Particulars
By P & L A/c
Cr.
A
***
B
***
( Interest on Capital
to Partner)
Ajay Janardan Gursale. ( M.Com.B.Ed.)
14

15. 14. Drawing of Partners
DR.
Trading A/c
Particulars
Amt
Cr.
Particulars
Amt.
By Goods withdrawn by
***
Partners A & B
Dr.
Particulars
To Drawing a/c
***
Partner’s Capital A/c
A
B
***
Particulars
****
Cr.
A
B
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
15

16. 15.Interest on Drawing of Partners
(Income of the Business)
DR.
Profit & Loss A/c
Particulars
Amt
Cr.
Particulars
Amt.
By Interest on Drawing A
Interest on Drawing B
Dr.
***
***
Partner’s Capital A/c
Particulars
To Interest on Drawing a/c
A
B
***
Particulars
***
Cr.
***
Ajay Janardan Gursale. ( M.Com.B.Ed.)
A
B
16