TS Grewal Solution for Class 11 Accountancy Chapter 14

TS Grewal’s Class 11 Chapter 14 solutions for Accountancy deal with the sole proprietorship firms' financial statements and examples. Financial statements are said to be written records that help demonstrate the company's activities and reflect its financial performance. These financial statements can be the company's balance sheet, income statement, cash flow statement.

The balance sheet that the company maintains helps provide the overview of assets, the liabilities that the company has to maintain, along with different stocks and the name of their stockholders.

The income statement's primary purpose is to show the expenses that occur during that period. Once you subtract the revenues from the revenues, the statement will give you the company's complete profit figure, which is called net income.

What is Sole Proprietorship?

A business owned by an individual whose profit and loss come under the owner's income tax is called a sole proprietorship business. This type of business is easy to find around you; for example, a departmental store run by your neighbour is a sole proprietorship business. A private university can also come under sole proprietorship if all the board members have blood relations.

Meaning of Financial Accounts

Final Accounts provide managers, owners, and other interested parties with information on a company's profitability and financial position. It's made up of the following statements: –

• Accounts Trading

• Profit and Loss

• Balance Sheet

Every entrepreneur established a company in order to make money. The owner's net profit is the amount of money he or she makes from the business. An accountant has prepared the final accounts for the business for a specific accounting period in order to assess profit or loss (i.e. One year starts from 1st April and ends on 31st March).

An accountant prepares the final accounts or financial statement for a specific period of time based on the trial balance for reporting the management of the business. The final accounts are created to reveal the financial outcomes of the business's operations within a specific accounting period, as well as the financial status of the business at that time.

Involved Statements in the Final Accounts: –

1. Account for trading: 

2. Account for profit and loss:

3. Accounts Payable: 

Class 11 Accountancy TS Grewal Solutions Solution Chapter 14 PDF

The financial statements of sole proprietorship chapter 14 class 11 accountancy TS Grewal solutions can be found on our website. You can download its PDF if you want to access it anytime without an internet connection.

Benefits of Financial Statements

The balance sheet helps a company find out about its basic accounting equation, such as the assets. In addition to this, the company's income statement has another name, which is the profit and the loss statement. It also provides the company's profitability over the set period.

Financial statements give you a clear image of your business and how it's going in terms of finances and profits. This financial image will provide better decision-making capabilities that are less volatile to losses.

To get the credit, you need to showcase your previous years' financial statements along with the current year’s statement. To apply for a business loan, you need to have a good track record in managing your finances.

Benefits of TS Grewal Solutions

Let us look at some of the benefits that a student can avail with the TS Grewal Solutions:

• Trusted Solutions Book

• Easy to understand Solutions

• Solutions are available Chapter-Wise

• Contains solutions regarding the updated syllabus provided by CBSE.

• It is free of cost

• Step by Step solutions of all complex questions

• Perfect study material to prepare for exams and revise

Features of TS Grewal Solutions

The important features of the TS Grewal Solutions are discussed below: 

• TS Grewal answers are written in simple, easy-to-understand language and are created according to the latest CBSE syllabus. As a result, even students with less accounting knowledge can utilize it to solve problems on their own.

• These solutions are a fantastic way to practise and revise.

• These answers have been written by experts in the field. As a result, students can be confident that the answers are correct.

• The solutions provided by TS Grewal are an excellent resource for exam preparation. Even the most complex issues are explained in an understandable manner, and these solutions make accounting a lot easier to learn.

• The answers are arranged in a chapter-by-chapter fashion.

• Students do not have to pay anything to use these valuable resources. It is available for download at no cost.

Conclusion

You can find the solved answers of this chapter in Class 11 Accountancy TS Grewal Solutions Chapter 14 pdf which is specially curated to help students understand the topic from the core and learn all the insightful tricks to solve the questions.