analytical study on various adjustments in final accounts of partnership firm
Hey Jawad,
Heartiest welcome to Meritnation.com
Well, I believe you have chosen this topic for your 'Project work'. I must say that's an important topic as well.
Now, in making your project what you can do is either to visit a partnership firm and collect the data- Journal, Ledger Accounts and Trial Balance. With this information, you can prepare Trading and Profit & Loss Account along with Balance Sheet of the firm. Also, some of the important adjustments that you can consider including are listed below:
1. Closing Stock,
2. Outstanding Expenses,
3. Prepaid Expenses,
4. Income received in advance,
5. Accrued Income,
6. Bad-debts and Provision for bad-debts,
7. Interest on Capital and Drawings,
8. Goods distributed as Free Samples,
9. Manager's Commission etc.
Having prepared the final accounts, you can prepare the Profit and Loss Appropriation Account and Partners' Capital Accounts.
Alternatively, what you can do is to build-up a story on your own and take fictitious figures and begin from the scratch. In this approach, you can begin with an already drafted Trial Balance with imaginary figures and then prepare the final accounts.
However, in the both the cases, you should frame your project in the following manner.
1. Introduction (give a brief introduction to the partnership firm, name of the partners, type of goods the firm deals in, etc.)
2. Aim and objective of your study
3. Research Methodology (how you have prepared Financial Statements, etc.)
4. Observation and Analysis of the observations
5. Conclusion based on your analysis and observations
8. Bibliography (stating the name of the books, website and other sources with their issue date and edition)
Hope that these suggestions will help you in your project work. For any further queries and doubts, please feel free to let us know about the same.
Heartiest welcome to Meritnation.com
Well, I believe you have chosen this topic for your 'Project work'. I must say that's an important topic as well.
Now, in making your project what you can do is either to visit a partnership firm and collect the data- Journal, Ledger Accounts and Trial Balance. With this information, you can prepare Trading and Profit & Loss Account along with Balance Sheet of the firm. Also, some of the important adjustments that you can consider including are listed below:
1. Closing Stock,
2. Outstanding Expenses,
3. Prepaid Expenses,
4. Income received in advance,
5. Accrued Income,
6. Bad-debts and Provision for bad-debts,
7. Interest on Capital and Drawings,
8. Goods distributed as Free Samples,
9. Manager's Commission etc.
Having prepared the final accounts, you can prepare the Profit and Loss Appropriation Account and Partners' Capital Accounts.
Alternatively, what you can do is to build-up a story on your own and take fictitious figures and begin from the scratch. In this approach, you can begin with an already drafted Trial Balance with imaginary figures and then prepare the final accounts.
However, in the both the cases, you should frame your project in the following manner.
1. Introduction (give a brief introduction to the partnership firm, name of the partners, type of goods the firm deals in, etc.)
2. Aim and objective of your study
3. Research Methodology (how you have prepared Financial Statements, etc.)
4. Observation and Analysis of the observations
5. Conclusion based on your analysis and observations
8. Bibliography (stating the name of the books, website and other sources with their issue date and edition)
Hope that these suggestions will help you in your project work. For any further queries and doubts, please feel free to let us know about the same.