The profit as per cost accounts is Rs. 75,000. The following details are ascertained a comparison of cost and financial accounts:
|
Cost Accounts Rs. |
Financial Accounts Rs. |
|
|
(a) Opening stocks: |
||
|
Material |
5,000 |
7,500 |
|
Finished goods |
9,000 |
8,000 |
|
(b) Closing stocks: |
||
|
Material |
6,000 |
6,500 |
|
Finished goods |
10,000 |
8,500 |
|
(c) Interest charged |
5,000 |
– |
|
(d) Preliminary expenses written off |
– |
250 |
|
(e) Goodwill written off |
– |
750 |
|
(f) Dividend received |
– |
500 |
|
(g) Indirect expenses |
37,500 |
40,000 |
Find out the profit as per the financial accounts by drawing up a memorandum reconciliation account.