Project -Phase 11
Table 1: Inventory Adjustment (Stock Control)
| Field | Data to Enter |
|---|---|
| Type | Quantity Adjustment |
| Item | Motherboard |
| Reason | Damaged Goods |
| Adjusted Qty | Reduce current stock by 1. |
Record Manual Journals for Month-End Adjustments
Pass the following Manual Journal Entries in Zoho Books on the last date of Month 2 to account for non-cash expenses and provisions.
A. Depreciation on Fixed AssetsCharge depreciation on the company’s fixed assets for the operations of Month 1 and Month 2.
- Plant & Machinery: Record depreciation of ₹25,130.
- Furniture & Equipment: Record depreciation of ₹17,347.
B. Interest Accrued on Director’s LoanThe company has a “Loan from Directors” of ₹26,27,530. Interest is applicable at 12% p.a. and has not yet been paid.
- Action Required: Record the interest expense accrued for 2 Months.
- Calculation: (26,27,530 * 12% * 2/12) = ₹52,550.
C. Provision for Income TaxBased on the estimated profit for the period, the management has decided to create a provision for income tax liability. Create a tax provision of ₹35,000.
D. Outstanding Salaries Provision: Salaries for Month 2 are unpaid as on month-end. Create provision for outstanding salaries for ₹4,52,700.
E. Rent Expense Accrued: Office rent for Month 2 has not yet been paid. Record rent expense of ₹45,000
F. Electricity Charges Accrued: Electricity bill for Month 2 is pending as on the last day of the month. Create provision for electricity expenses of ₹10,000.
G. Prepaid Insurance Adjustment: Insurance premium of ₹1,20,000 was paid in advance for 12 months through bank . Adjustment is required for 2 months usage. Recognise insurance expense of ₹20,000.
H. Accrued Interest on Fixed Deposit: The company has a Fixed Deposit of ₹20,00,000 carrying interest @ 8% p.a. Interest for 1 month has accrued but not yet received. Record accrued interest income of ₹13,333/-.
I. Bad Debts Written Off: Home Plus Electronics balance has become irrecoverable and is to be written off. Write off bad debts amounting to ₹8,500.
J. The company has received ₹36,000 in its bank account towards project income from Mr. Nithin Roy and ₹1,000 from Megha Malls. The amounts were received directly through the bank.
K. Capital invested by Partner ₹ 5,00,000/-
L. The company sold scrap materials and received ₹42,500, which has not been recorded.
Table 2: Transaction Locking (Security)
| Field | Data to Enter |
|---|---|
| Lock Type | Lock Purchase & Sale Module |
| Lock Date | Last day of the Previous Month |
| Reason | Monthly Audit Completed |
Table 3: Create a Project Budget
| Month | Site Visit | Installation | Total Per month | ||
| Travel Expenses | Consulting Revenue – Projects | Materails Expenses | General Income | ||
| Month 1 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 2 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 3 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 4 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 5 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 6 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 7 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 8 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 9 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 10 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 11 | 1500 | 500 | 1000 | 2000 | 5000 |
| Month 12 | 1500 | 500 | 1000 | 2000 | 5000 |
| 18000 | 6000 | 12000 | 24000 | 60000 | |
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