B Ltd. opened a branch in Hyderabad in late 2011, and forwarded goods for resale from the Head Office at Calcutta, invoiced them at selling price; the mark-up was 1/3 of selling price.

The Head Office maintained a Branch Stock Account, Goods Sent to Branch Account, Branch Debtors Account and the Branch Adjustment Account. These were written-up from weekly branch returns of cash sales, credit sales, cash received from debtors and other credits allowed to debtors.
During the year to 31st December, 2017, the following transactions took place at Hyderabad:

The following additional information is also available in respect of the branch:

Stock on hand at selling price : 1.1.2017 : ₹16,080; 31.12.2017 : ₹21,000 and Debtors : 1.1.2017 : ₹6,608; and 31.12.2017 : ₹7,580.

You are required:

(a) To present the Ledger Accounts in the Head Office recording the above transactions.

(b) To compute the gross profit of the branch for the period.

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Particulars Goods received from Calcutta Goods returned to Calcutta Bad debts Cash received from Debtors ₹ 1,80,000 1,680 596 68,624 Cash discount given Cash sales Credit sales Particulars ₹ 1,808 1,00,800 72,000