CONSIGNMENT

CONSIGNMENT
8. On 1st January, 2005 Ahmad of Lahore consigned to Babar of Multan goods for ssentitled to commission of 5%. Goods sent to Babar at Rs. 144,000 . The expconsignment amounted to Rs. 7,500. On 31st March, 2005, an Account Sales was nBabar showing that he had effected sales of Rs. 120,000 in respect of 2/3 of thAns: [Profit on Consignment Rs. 4,600]
9. Rizwan of Gujranwala sent 100 sewing machines to Astam of Hong Kong atmachine. The consignor paid Rs. 2,000 for packing and dispatching chaimmediately after receiving the consignment accepted a bill for Rs. 40,000. AflAslam reported that 80 machines were sold for Rs. 875 each and expenses being <3,000, on godown rent, Rs. 750 and on insurance Rs. 500. Aslam is entitled to a \9 % on sales. Due to insolvency of a customer who purchased 4 machinesanything.
Show consignment'Account, Aslam Account and goods sent on Consignment Ace Ans: [Profit on consignment Rs. 3,450]
10. On 1st Jan. 2005 Razaq & Co. of Lahore consigned to M ushtaq & Co. of MardaRs. 500 each. Razaq & Co. had paid Rs. 200 for packing etc., Rs. 50 for insuranfor carriage. On 1st March 2005, Mushtaq & Co. sold 75 cycles for Rs. 45,001thereon being Rs. 2000. Mustaq & Co. are entitled for commission of 5(delcredere) on sales and they remitted Rs. 30,000 on account. One customer w1cycles failed to pay his debts due to his insolvency. Pass the necessary entries anecessary ledger accounts in books of Razaq & Co.
Ans: [Profit on consignment Rs. 1,975]
11. Zaheer & Sons of Karachi dispatched a consignment of 400 cases of Electric bt of Kohat on 1st December 2005. The cost price was quoted at Rs. 1,80,000 . On Hammad sent an account sales with the following details:
75 % of the goods were sold for Rs. 135,000.
Hammad paid unloading changes Rs. 1200.
Advertisement and selling expenses paid by Hammad amounted to Rs. 71
Hammad is to receive a commission of 5 % on sales.
At the time of dispatch Zaheer & Sons incurred an expenditure of Rs. 2,000 and insurance charges.
Prepare necessary ledger accounts in the books of the consignor. Ans: [Loss on consignment Rs. 9,850]