Advanced accounting

please send chapter name and illustration number.i have old study material.
kindly sent.

It's illustration no. 5, M/s Alpha having departments X & Y.

Normally opening stock reserve is credited to P&L and closing stock reserve is created by debiting P&L. The net effect is to increase reserve only for increase in Stock without disturbing the stock reserve on opening. Even if you do it separately for opening & closing stock the net effect is same. However this can't be done when there is decrease in Stock