Container Accounts
In such a case container stock account is open in the books it is debited with
opening stock of container and purchase of container during the period. It is credit
with amount charge to customers to container sent to them and closing stock of
container.
Returnable Container
1. The firm makes an extra charge for the container send to the customer
beside the usually selling price of goods.
2. Customers are given a time limit within which they have to return containers
if they show desire.
3. The price at which the containers are taken back is lower than the price at
which the customers are charge for them. This is a sort of hire or desperation
for the container use.
The following accounts may be opened in the books for accounts of container
3 Container Debtors
Amou Amou
Qty Rate nt Qty Rate nt
Balance
B/D
D. Trading
Debtors 4,000 2 8,000 Acc 2,000 2 4,000
Balance C/D
25,00
Debtors 10,000 2.5 0
40,00
Stock 16,000 2.5 0
174,0 174,0
42,000 00 42,000 00
1,008,00
0
506,00 5,037,00 506,00 5,037,0
0 0 0 00
14,00
Retain 0
10,00
Stock 0 70,000
Purchased during the year 60,000, Container sent out to customers 50,000,
Container fully destroyed 200 containers, sold as scrapped (Rs. 1000) 400
containers.
Purchases during the year amount to 600,000. Hire charges is Rs 4 per container.
Chargeable price is 80% above cost. Cost price of the container was constant over
the last 3 years
You are require to prepare Container Stock account, Container Trading account,
Container suspense account and container debtors account
120,00
Stock 12,000 12 0 D. Trading Acc 400 10 4,000
6,000,0 420,00
Purchase 60,000 10 00 D. Trading Acc 42,000 10 0
Balance C/D
1,000,0
Customers 10,000 10 00
254,00
Stock 25,400 10 0
C. Debtors 900,00
C. Stock Acc 2,000 sent out 50,000 18 0
420,00
C. Stock Acc 42,000 10 0
C. suspense 1,400,0
a. 10,000 14 00
363,00
P&L 0
985,00 985,00
56,400 0 56,400 0
Balance
C/D 10,000 14 140,000
140,
Closing Stock 10,000 14 0