CA Foundation Exam > CA Foundation Questions > If unsold goods costing Rs. 20,000 is taken o...
Start Learning for Free
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:
- a)Rs. 20,500
- b)Rs. 15,000
- c)Rs. 5,000
- d)Nil
Correct answer is option 'B'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15...
Understanding Joint Venture Accounting
In a joint venture, members pool resources for a specific project or purpose. When unsold goods are taken over by a venturer, it affects the accounting entries in the Joint Venture account.
Situation Overview
- Cost of Unsold Goods: Rs. 20,000
- Price Paid by Venturer: Rs. 15,000
Accounting Treatment
- When the venturer takes over the unsold goods, the transaction needs to be recorded in the Joint Venture account.
- The Joint Venture account reflects the actual value of the goods taken over.
Key Points
- Cost vs. Selling Price: The goods have a cost of Rs. 20,000, but the venturer only pays Rs. 15,000.
- Credit to Joint Venture Account: The Joint Venture account should be credited with the amount the venturer actually pays, which is Rs. 15,000.
- No Gain or Loss Recorded: The difference between the cost and price (Rs. 5,000) does not affect the Joint Venture account directly but may impact the overall profit calculation for the venture.
Conclusion
- The correct amount to credit to the Joint Venture account is Rs. 15,000.
- Therefore, the right answer is option B: Rs. 15,000, as it represents the actual transaction conducted by the venturer for the unsold goods.
In a joint venture, members pool resources for a specific project or purpose. When unsold goods are taken over by a venturer, it affects the accounting entries in the Joint Venture account.
Situation Overview
- Cost of Unsold Goods: Rs. 20,000
- Price Paid by Venturer: Rs. 15,000
Accounting Treatment
- When the venturer takes over the unsold goods, the transaction needs to be recorded in the Joint Venture account.
- The Joint Venture account reflects the actual value of the goods taken over.
Key Points
- Cost vs. Selling Price: The goods have a cost of Rs. 20,000, but the venturer only pays Rs. 15,000.
- Credit to Joint Venture Account: The Joint Venture account should be credited with the amount the venturer actually pays, which is Rs. 15,000.
- No Gain or Loss Recorded: The difference between the cost and price (Rs. 5,000) does not affect the Joint Venture account directly but may impact the overall profit calculation for the venture.
Conclusion
- The correct amount to credit to the Joint Venture account is Rs. 15,000.
- Therefore, the right answer is option B: Rs. 15,000, as it represents the actual transaction conducted by the venturer for the unsold goods.
Attention CA Foundation Students!
To make sure you are not studying endlessly, EduRev has designed CA Foundation study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CA Foundation.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer?
Question Description
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer?.
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer?.
Solutions for If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer?, a detailed solution for If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? has been provided alongside types of If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice If unsold goods costing Rs. 20,000 is taken over by Venturer at Rs. 15,000, the Joint Venture A/c will be credited by:a)Rs. 20,500b)Rs. 15,000c)Rs. 5,000d)NilCorrect answer is option 'B'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup