PRACTICAL PROBLEM 01

Q. 1 Prepare a chart showing Analysis of the following transactions in a Tabular form according to Traditional Approach:
1. Rajasaheb started business with cash Rs 85,000.
2. Goods Purchased for cash Rs 5,000.
3. Sold goods on credit worth Rs 6,000.
4. Cash deposited into Bank of Maharashtra Rs 12,000.
5. Interest received Rs 700 from Radhika.
6. Paid Rent Rs 2,000 to landlord.
7. Bought goods on credit from Birajmohan Rs7 ,000.
8. Withdrew cash from bank Rs 1,000 for office use.
9. Purchased computer Rs 9,000 for cash.
10. Paid Mobile bill (office) Rs 500.
11. Sold old Mobile Rs 2,000.
12. Received Rent Rs 1,000 from tenant.

Ans:

Sr.No.TransactionTwo aspects/ EffectsAccounts InvolvedClassification of AccountsRules AppliedAccount to be DebitedAccount be Credited
1Rajasaheb started business with cash Rs 85,000.1) Cash Comes in.1) Cash A/c1) Real A/cDebit what comes inCash A/c 
2) Proprietor is giver.2) Capital A/c2) Personal A/cCredit the Giver Capital A/c
        
2Goods Purchased for cash Rs 5,000.1) Purcase is an expense1) Purchase A/c1) Nominal A/cDebit all Expenses Purchase A/c 
2) Cash goes Out.2) Cash A/c2) Real A/cCredit What goes out Cash A/c
        
3Sold goods on credit worth Rs 6,000.1) Debtor is Receiver1) Debtor A/c1) Personal A/cDebit the ReceiverDebtors A/c 
2) Sales is an Income2) Sales A/c2) Nominal A/cCredit all Income Sales A/c
        
4Cash deposited into Bank of Maharashtra Rs 12,000.1) Bank is Receiver1) Bank of Maharashtra A/c1) Personal A/cDebit the ReceiverBank of Maharashtra A/c 
2) Cash goes Out.2) Cash A/c2) Real A/cCredit What goes out Cash A/c
        
5Interest received Rs 700 from Radhika.1) Cash Comes in.1) Cash A/c1) Real A/cDebit what comes in Cash A/c 
2) Interest received is income.2) Interest A/c2) Nominal A/cCredit all Income Interest A/c
        
6Paid Rent Rs 2,000 to landlord.1) Rent paid is an expense1) Rent A/c1) Nominal A/cDebit all ExpensesRent A/c 
2) Cash goes Out.2) Cash A/c2) Real A/cCredit what goes Out Cash A/c
        
7Bought goods on credit from Birajmohan Rs7 ,000.1) Purchase is an Expense1) Purchase A/c1) Nominal A/cDebit all ExpensesPurchase A/c 
2) Birajmohan is giver.2) Birjmohan A/c2) Personal A/cCredit the giver Brijmohan A/c
        
8Withdrew cash from bank Rs 1,000 for office use.1) Cash Comes In1) Cash A/c1) Real A/cDebit what comes inCash A/c 
2) Bank is giver2) Bank A/c2) Personal A/cCredit the giver Bank A/c
        
9Purchased computer Rs 9,000 for cash.1) Computer Comes in1) Computer A/c1) Real A/cDebit what comes in Computer A/c 
2) Cash goes outCash A/c2) Real A/cCredit what goes Out Cash A/c
        
10Paid Mobile bill (office) Rs 500.1) Mobile bill is an Expense1) Mobile bill A/c1) Nominal A/cDebit all ExpensesMobile bill A/c 
2) Cash goes out2) Cash A/c2) Real A/cCredit what goes Out Cash A/c
        
11Sold old Mobile Rs 2,000.1) Cash comes in1) Cash A/c1) Real A/cDebit what comes in Cash A/c 
2) Mobile goes out2) Mobile A/c2) Real A/cCredit what goes Out Mobile A/c
        
12Received Rent Rs 1,000 from tenant1) Cash comes in1) Cash A/c1) Real A/cDebit what comes in Cash A/c 
2) Rent is an Income2) Rent A/c2) Nominal A/cCredit all Income Rent A/c

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