Final account

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Final Accounts

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Final Accounts of Sole Proprietors

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INDEX What and Why of Final Accounts Trading a/c Profit and Loss Account Balance Sheet Year end Adjustments Manufacturing Account Š MeraSkill


What and Why of Final Accounts

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Final Accounts of Sole Proprietors Last leg of the process of Accounting To ascertain the results of the year To know the net worth Final Accounts of Trading Concerns Final accounts of Manufacturing Concerns

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Final Accounts for Trading Concerns

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Final Accounts of Non Manufacturing Concerns Trading a/c Profit and Loss a/c Balance Sheet

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Trading Account

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Trading Account - Equation Gross Profit = Sales- Cost Of Goods Sold (COGS) COGS = Opening Stock + Purchases - Closing Stock + Direct costs

Direct costs = Carriage inward , Wages, Custom duty etc on purchases, Transit insurance on purchase

Indirect costs = Administrative costs, Selling costs, General expenses, Financing costs (also called operating expenses) Š MeraSkill


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