FINANCIAL REPORT OF THAPA FIRM IN NEPAL WITH

REFRENCE TO MR. THAPA COMPANY

A Report about the partial fulfillment of the requirements of
the internal evaluation of Grade XI in Principles of
Accounting-I

Name of the student: Niraj Chaudhary

Section: J1
Student ID: 28282

Trinity International SS & College

Dillibazar Height, Kathmandu, Nepal
Date: 2079-12-02
Declaration

I hereby declare that the work presented in this project report

has been done by myself under the supervision of Mr.
Pushpa Sir (lecturer of accounting) and has not been
submitted elsewhere for any examination.

All sources of information have been specifically

acknowledged by references to authors or institutions.
Date: 2079-12-02

Name of the student:

Niraj Chaudhary
LETTER OF APPROVAL

The Project Work Submitted to Trinity International SS

College, by Niraj Chaudhary, entitled “Mr. Thapa Textile
Company” has been approved as the partial fulfillment of the
requirements of the internal evaluation.

Date: 2079-12-02

Name of supervisor:
Mr. Pushpa Chaulagain
INTRODUCTION

Background of the study:

Financial report of any organization shows the
operating result and financial position of any
organization. It helps to check the health of the business
which helps to detect that the business is running
properly or not. It shows the position of profit or loss
and condition of assets and liabilities.

In Nepal, the private firm was established by single

person can be registered under private firm registration
Act, 2020.
Objectives of the study
The main objective of this report is to acquire a sound
understanding of an organization and to know about
preparation of financial reports……………… Major
objectives of this report are mentioned below:
 To know operating result.
 To know the financial position at given period.
 To communicate the financial position

Limitations of the study

Since the report is prepare based on Trial balance provided by
the business or organization based on the past year’s
performance so it shows the operating result and financial
position of last year only. It does not maintain any type of
secrecy.
Methods and materials

We have used imaginary methods of data collection for the

purpose of this report. For the collection of financial and non-
financial data we have not visited any company or
organization. We took this data by group discussion based on
imagination.
Transactions

 On January 1, 2020, Business started with cash Rs 65,000, Furniture

Rs 20,000 and Building Rs 1,00,000
 On January 1,2020, goods purchased from Asif on credit Rs 15,000

 On January 2, 2020, goods purchased on cash Rs 30,000

 On January 3, 2020, goods sell to customer Rs 22,000 and cash received

 On January 5, 2020, goods worth Rs 14,000 sell to Shahid

 On January 8, 2020, type writer worth Rs 8,000 bought on cash

 On January 10, 2020, office iron safe purchased on Rs 4,000

 Journal Entries

Date Particulars L/F Debit Credit

Jan-1 Cash a/c 65,000
2020 Furniture a/c 20,000
Building a/c 1,00,000
To capital a/c 1,85,000
(Being business started with cash,
furniture and building)
Jan-1 Purchase a/c 15,000
2020 To Asif a/c
15,000
(Goods purchased on credit from
Asif)
Jan-2 Purchase a/c 30,000
2020 To cash a/c 30,000
(Goods purchased on cash)
Jan-3 Cash a/c 14,000
2020 To sale a/c 14,000
(Goods sold on cash)
Jan-5 Shahid a/c 14,000
2020 To sale a/c 14,000
(Goods sold on credit to shahid)
Jan-8 Office equipment a/c 8,000
2020 To cash a/c 8,000
(Bought type writer on cash)

Jan-10 Office equipment a/c 4,000 4,000

2020 To cash a/c
(Iron safe purchased on cash)
 Ledger

Cash Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-1 Capital a/c 65,000 Jan-2 Purchase a/c 30,000
2020 2020

Jan-3 Sales a/c 22,000 Jan-8 Office equipment

2020 2020 a/c 8,000

Jan-1 To balance b/d 45,000 Jan-10 Office equipment

2021 2020 a/c 4,000
Dec-31 By balance c/d 45,000
2020
87,000 87,000

Furniture Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-1 Capital a/c 20,000 Dec-31 By balance c/d 20,000
2020 2020

Jan-1 To balance b/d 20,000

2021
20,000 20,000

Building Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-1 Capital a/c 1,00,000 Dec-31 By balance c/d 1,00,000
2020 2020

Jan-1 To balance b/d 1,00,000

2021
1,00,000 1,00,000
 Capital Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Dec-31 To balance c/d 1,85,000 Jan-1 Cash a/c 65,000
2020 2020 Furniture a/c 20,000
Building a/c 1,00,000

Jan-1 By balance b/d 1,85,000

2021
1,85,000 1,85,000

Purchase Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-1 Asif a/c 15,000 Dec-31 By balance c/d 45,000
2020 2020

Jan-2 Cash a/c 30,000

2020

Jan-1 To balance b/d 45,000

2021
45,000 45,000

Asif Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Dec-31 To balance c/d 15,000 Jan-1 Purchase a/c 15,000
2020 2020

Jan-1 By balance b/d 15,000

2021
15,000 15,000

Sales Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Dec-31 To balance c/d 36,000 Jan-3 Purchase a/c 30,000
2020 2020

Jan-5 Shahid a/c 14,000

 2020
36,000 36,000

Shahid Account
Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-5 Sales a/c 14,000 Dec-31 By balance c/d 14,000
2020 2020

Jan-1 To balance b/d 14,000

2021
14,000 14,000

Office equipment Account

Date Particulars J/F Amou Date Particulars J/f Amoun
nt t
Jan-8 Cash a/c 8,000 Dec-31 By balance c/d 12,000
2020 2020

Jan-10 Cash a/c 4,000

2020

Jan-1 To balance b/d 12,000

2021
12,000 12,000
 Trial Balance

Particulars L/ Debit Credit

f
Cash a/c 45,000
Furniture a/c 20,000
Building a/c 1,00,000
Capital a/c 1,85,000
Purchase a/c 45,000
Asif a/c 15,000
Sales a/c 36,000
Shahid a/c 14,000
Office equipment a/c 12,000

Total 2,36,000 2,36,000

 Statement of Financial Position (NFRS)

Profit or loss statement

For the year 31stDec, 2020

Particulars Not Detailed Amount

e
Revenue from operation 1.1 36,000

Less: cost of sales 1.2 (45,000)

Gross loss (9,000)

Add: Other income 1.3 -- -------

Less: Distribution expenses 1.4 ----------

Less: Administrative expenses 1.5 (12,000)

Loss from operation (21,000)

Less: Finance cost 1.6 ---------

Net loss for the year (21,000)

 Statement of Financial Position
As on 31st Dec, 2020

Assets Note Detailed Amount

Non-Current Assets
Plant, Property & Equipment 2.1 1.20,000
Investment 2.2 ----------
Intangible Assets 2.3 ----------
Biological Assets 2.4 ----------
Total non-current Assets 1,20,000
Current Assets
Cash and cash equipment 2.5 45,000
Trade and other receivable 2.6 14,000
Inventories 2.7 -----------
Total Current Assets 59,000

Total Assets 1,79,000

Owners’ equity
Share capital 3.1 1,85,000
Less: Net loss from operation (21,000)
Total owner’s equity 1,64,000
Non-Current Liabilities
Loan & Borrowing 3.2 -----------
Current Liabilities
Trade & other payable 3.3 15,000
Total Non-Current Liabilities 15,000

Total Liabilities 1,79.000

Conclusion

Thorough this project, I have learned many things regarding Thapa

Company as well as information regarding accounting. Not only that
I even got to know more about journal, ledger, Trial balance and
NFRS. We can find the profit and loss of the business by making
these. I am glad to learn about this information. At last I would like
to thank Pushpa sir for giving this project.
 Bibliography

 Textbook of Accounting
 www.google.com
 Accounting problem solver
 www.youtube.com

Thank you 😊!!

Have a great day<<