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Jaya Ltd. owned the patent of safety locks. It granted to X & Company a licence for seven years to manufacture and sell locks on the following terms: a) X & Company to pay Jaya Ltd. a royalty of Rs.5 for each lock sold with a minimum annual payment of Rs.50,000. Accounts are to be settled annually on 31st December. b) If in any year royalty calculated on locks sold amounted to less than Rs.50,000 X & Co. to have the right to deduct the deficiency from the royalty payable in excess of that sum in the two following years. c) The number of locks sold was as follows Year ended 31/12/1998 - 8,000; Year ended 31/12/1999 – 9,000; Year ended 31/12/2000 – 11,000; Year ended 31/12/ 2001 – 18,000. You are required to give the Ledger Accounts necessary to record the above royalty transactions in the books of X & Co., which are closed annually on 31st December. 1 SEE ANSWER ADD ANSWER+6 PTS Log in to add comment mamtakashyap963 is waiting for your help. Add your answer and earn points. Answer 0 PDesai Ambitious 23 answers 2.7K people helped To keep reading this answer, download the free app Join millions of students having fun with homework 4.6 VIEW ANSWER IN-APP THANKS 0 0.0 (0 votes) Find Math textbook solutions? SEE ALL Class Class 12 Class Class 11 Class Class 10 Class Class 9 Class Class 8 Class Class 7 Class Class 6 Class Class 5 Class Class 4 Class Class 3 Class Class 2 Class Class 1 NCERT Class 9 Mathematics 619 solutions NCERT Class 8 Mathematics 815 solutions NCERT Class 7 Mathematics 916 solutions NCERT Class 10 Mathematics 721 solutions NCERT Class 6 Mathematics 1230 solutions ML Aggarwal - Understanding Mathematics… 2080 solutions Xam Idea Mathematics 10 2278 solutions ML Aggarwal - Understanding Mathematics… 2090 solutions R S Aggarwal - Mathematics Class 8 1963 solutions R D Sharma - Mathematics 9 2199 solutions SEE ALL Advertisement Still have questions? FIND MORE ANSWERS ASK YOUR QUESTION New questions in Math Goh, Chia and Liew share their money to buy a present for their teacher 's birthday by following the ratio of 4 : 3 : 5. The total money shared by Lie … rohit can do piece of work in 60 days find his 1 day work / plz koi sahi ans with solution bhej do ​ x2-√36-6 factorise it ​ Prove that COS4A = 8 COS⁴A - 8 COS²A +1​ 5. Find the area of the following. parallelogram(a)5 cm6.5 cm​ If DO = 35, TRY = 18, then ROPE will be equal to​ 29) 9.25 किग्रॅ + 2550 ग्रॅम - 7.5 किग्रॅ = किती?​ Varun has 506 sheets of paper. How many more sheets does he require to make note pads of 10 sheets each?​ (a-b)³=? / (a+b)³=? / (a+b)²=? / (a+b)²=??Give any one answer.​ write down the sequence which leaves the remainder 2 on division by 5​ Previous Next Ask your questionJaya Ltd. owned the patent of safety locks. It granted to X & Company a licence for seven years to manufacture and sell locks on the following terms: a) X & Company to pay Jaya Ltd. a royalty of Rs.5 for each lock sold with a minimum annual payment of Rs.50,000. Accounts are to be settled annually on 31st December. b) If in any year royalty calculated on locks sold amounted to less than Rs.50,000 X & Co. to have the right to deduct the deficiency from the royalty payable in excess of that sum in the two following years. c) The number of locks sold was as follows Year ended 31/12/1998 - 8,000; Year ended 31/12/1999 – 9,000; Year ended 31/12/2000 – 11,000; Year ended 31/12/ 2001 – 18,000. You are required to give the Ledger Accounts necessary to record the above royalty transactions in the books of X & Co., which are closed annually on 31st December.​

Answer 1

Same question :

Kamau owned the patent of safety lock. Moses and Co. acquired the right to manufacture and sell

locks for seven years on the following terms:

a) Ofien0 and Co. to pay Kamau a royalty of Shs. 5 for each lock sold with a minimum ana

payment of Shs. 50,000. Accounts are to be settled annually on 31 December

n any year the royalty calculated on locks sold amounted to less than Shs. 50,000. Moses

and Co. is to have the right to deduct the deficiency from the royalty payable in excess of that

sum in the two following years. The number of locks sold was as follows:

Year ended 31s December:

2017 8,000

2018 9,000

2019 11,000

2020 18,000

Required:

Prepare the necessary ledger accounts to record the above royalty transactions in the books of Moses

and Co. which are closed annually on 31s December

i. Royalties Account

ii. Minimum Rent Account

ii. Short workings Account

iv. Kamau's Account

V. Profit and Loss Account