First Class Departmental Trading Account

To Carriage inward 8000 8000 Purchased goods 32000 40000.

Departmental trading account. Trading account is based on matching the selling price of goods and services with the cost of. For instance Departmental Store is an example of large scale trading by a retail trader. Opening Provision for Unrealized Profit.

Rani Departments entire Closing Stock of Rs. Departmental Accounts are accounts relating to the several departments or sections of a business drawn up with a view to ascertaining their individual performances. To Stock 1920 1440 3040 6400 By Sales.

A business entity where diversified natures of economic activities are undertaken is. Trading account is a nominal account in nature. For the year ended 31 st March 2011 Particulars Departmen t X Department Y Particulars Department X Department Y To Opening stock 80000 48000 By Sales 560000 448000 To Purchases 368000 272000 By Transfers.

The credit entry to the trading account of 55000 represents the gross profit for the period. In 000 Stock 1st April 1973 A Department 1700 B Department 1450 Purchase A Department 3540 B Department 3020 Sales A Department 6080 B Department 5125 Wages A Department 820 B Department 270. It is a part of the final accounts of the entity.

Trading activities are mostly related to the buying and selling activities involved in a business. In this video you will learn about Messer D B and R carried a business of drapers and tailors in DelhiIf you wish to learn more on this topic subscribe. Total Particulars A Dept.

A Trading account in columnar form is prepared to know the department wise gross profit of the concern. Function wise classification may also be done in a business unit like Production department Finance department Purchase department Sale department etc. As the name suggests it includes all the trading activities conducted by a business to ascertain the Gross ProfitLoss.