ADJUSTMENTS IN FINANCIAL STATEMENTS| CLASS 11 ACCOUNTS | CHAPTER 19 | Q1 TO 5 l TS GREWAL |CBSE 2026
📘 Class 11 Accounts – TS Grewal Solutions (2026 Edition) In this video, we cover Chapter 19 – Adjustments in Financial Statements (Questions 1 to 5) in detail. Step-by-step solutions are explained clearly to help you understand the concepts and score well in exams. ✨ Topics Covered: Meaning of Adjustments in Final Accounts Treatment of Common Adjustments (Outstanding Expenses, Prepaid Expenses, Accrued Income, Unearned Income, etc.) Practical Questions 1 to 5 from TS Grewal (2026 Edition) 🎯 Best for: CBSE Class 11 Accountancy students Exam preparation and revision Building strong fundamentals in Financial Statements with Adjustments 🔔 Don’t forget to Like, Share & Subscribe for more Class 11 & 12 Accounts solutions! 1, Closing Stock as at 3lst March, 2025 of 7 50,000 appears outside the Trial Balance. Accounts are closed on 31st March. Pass an Adjusting Entry and show how this will appear in the Final Accounts. [Ans.: Adjusting Entry: Dr. Closing Stock A/c and Cr. Trading A/c by 7 50,000; Closing Stock of 7 50,000 will be transferred to the credit side of Trading Account and it will also be shown on the asset side of Balance sheet 2. Following is the extract of Trial Balance as at 31st March, 2025: Heads of Accounts Wages Additional Information: Wages outstanding for 1 month. Show the treatment of Wages in the Final Accounts. [Ans.: 7 5,000 will be added to Wages' on the debit side of Trading Account; Wages outstanding of 7 5,000 will be shown on the Liabilities side of Balance Sheet as a Current Liability.] 3. Rahul's Trial Balance as on 31st March, 2025 has following information: Heads of Accounts Salaries and Wages 330000 eectricity Expenses 55000 Additional Information: (i) Salary for the month of March, 2025 is yet to be paid. (i) Electricity Bill for March, 2025 amounted to * 5,200 was received on 2nd April, 2025. Determine the amount of Salary and Electricity Expenses to be provided and show how the two amounts will be shown in the Final Accounts? Ans.: Outstanding Salaries and Wages 7 30,000 and Outstanding Electricity Expenses € 5,200; Add to existing expenses: in the Debit side of Profit & Loss Account and show under Current Liabilities in Balance Sheet.] 4. Ravi's Trial Balance as on 31st March, 2025 has the following information: L.F. Debit (R) Heads of Accounts Loan (Taken on 1st October, 2024, interest @ 10% p.a.) Interest 4,000 Credit (R) 1,00,000 What is the amount of outstanding interest to be provided? IAns: Total interest due = 1,00,000 x 6/12x 10/100=¥ 5,000 Outstanding Interest on Loan = 5,000 - 4,000 = 1,000 5. On Ist July, 2024, fire insurance premium of 72,000 was paid on a policy which will expire on 30th June, 2025. Accounts are closed on 31st March. Pass an adjusting entry and show how this will appear in the Final Accounts. [Ans.: Adjusting Entry: Dr. Prepaid insurance A/c and Cr. Insurance Premium A/c by & 18,000. 18,000 will be deducted from Insurance' on the debit side of Profit & Loss Account, Prepaid Insurance of 18,000 will be shown on the assets side of Balance Sheet as a Current Asset.]
