Practical Problem 05
Practical problem | Q 5 | Page 306
Siddhant sold goods to Sudhir of ` 43,800 on 18th March, 2019. Siddhant draws a bill on Sudhir on the same |
day for Rs 43,800 for 3 months which was duly accepted by Sudhir. Siddhant discounted the bill on the same |
day at 8% p.a. the bill was dishonoured on the due date and Sudhir requested Siddhant to accept Rs 13,800 |
and interest in cash on remaining amount at 12% p.a. Siddhant agreed and for the balance amount accepted |
a new bill at 2 months. Before the due date of new bill Sudhir retired the bill by paying Rs 29,700. |
Pass necessary Journal Entries in the Books of Siddhant. |
Solutions:
Journal Entries In the books of Siddhant | ||||
Date | Particular | L.F | Amount | Amount |
2019 | ||||
Mar-18 | Sudhir’s A/c…………………………………………………………………………………………..Dr | 43,800 | ||
To Sales A/c | 43,800 | |||
(Being Goods Sold On Credit) | ||||
Mar-18 | Bill Receivable A/c ……………………………………………………………………………..Dr | 43,800 | ||
To Sudhir’s A/c | 43,800 | |||
(Being bill drawn and acceptance received) | ||||
Mar-18 | Cash A/c ……………………………………………………………………………………………..Dr | 42,924 | ||
Discount A/c ………………………………………………………………………………………Dr | ||||
To Bill Receivable A/c | 43,800 | |||
(Being Sudhir Acceptance dishcounted with Bank) | ||||
Jun-21 | Sudhir A/c …………………………………………………………………………………………..Dr | 43,800 | ||
To Cash/Bank A/c | 43,800 | |||
(Being Sudhir Acceptance Dishonoured on due Date) | ||||
Jun-21 | Sudhir’s A/c…………………………………………………………………………………………Dr | |||
To Interest A/c | 600 | |||
(Being interest charged for balance due for 2 month from sudhir) | ||||
Jun-21 | Cash A/c …………………………………………………………………………………………….Dr | 14,400 | ||
To Sudhir’s A/c | 14,400 | |||
(Being Cash Received along with interest) | ||||
Jun-21 | New Bill Receivale A/c …………………………………………………………………….Dr | 30,000 | ||
To Sudhir’s A/c | 30,000 | |||
(Being Sudghir Acceptance Received for New Bill) | ||||
Cash/Bank A/c………………………………………………………………………………………Dr | 29,700 | |||
Rebate A/c…………………………………………………………………………………………..Dr | 300 | |||
To New Bill Receivable A/c | 30,000 | |||
(Being before due date, Sudhir’s retired the bill with Discount) | ||||
Total | 2,49,600 | 2,49,600 | ||