Introduction to Accounting — Account STD 11 Commerce — Question

What is the importance of the words 'Per Annum' for charging depreciation on fixed assets?

What is the meaning of recording in terms of money?

Ranjan, an employee of Jumbo Electronics, deposited in the bank ₹ 40,000 as the previous day's sale held overnight in the firm's safe. He has recorded the transaction in the Cash Book as follows:
In the bank column on Payments side; and in the cash column on Receipts side. Has he passed the entry correctly?

Pass Journal entries in the books of Raghunath Bros. from the following transactions:

2016
June 1	Raghunath Bros. started business with cash ₹ 80,000; Goods ₹ 40,000 and furniture ₹ 20,000
June 2	Sold goods to Nandlal of the list price of ₹ 20,000 at trade discount of 10%
June 4	Nandlal returned goods of the list price of ₹ 4,000
June 8	Received from Nandlal ₹ 14,150 in full settlement of his account
June 10	Purchased goods from Brij Mohan of the list price of ₹ 10,000 at 15% trade discount
June 13	Returned goods to Brij Mohan of the list price of ₹ 1,000
June 16	Settled the account of Brij Mohan by paying cash, under a discount of 4%
June 18	Purchased goods from Anil ₹ 5,000, Sunil ₹ 10,000
June 19	Paid cash to Anil ₹ 1,900 and discount received ₹ 100
June 20	Paid ₹ 9,800 to Sunil in full settlement of his account
June 20	Bought a 'Table Fan' for ₹ 8,000 for the domestic use of Raghunath
June 25	Sold goods for cash of the list price of ₹ 8,000 at 10% trade discount and 3% cash discount
June 30	Paid Rent ₹ 8,000; Trade Expenses ₹ 7,000 and Travelling Expenses ₹ 3,800

Shyam purchased a building for ₹ 20 lakh. After a period of five years, the depreciation charged on the building amounted to ₹ 3 lakh. However, due to boom in the property market, the current market value of the building is ₹ 28 lakh. State the value at which building should be recorded in the books of accounts. Also, give reasons for the same.

Why are the rules of debit and credit same for liability and capital?

Pass entries in the books of Mukerjee & Sons. assuming all transactions have taken place within the state of Uttar Pradesh. Assume CGST @ 9% and SGST @ 9%.

2018
March 1	Purchased goods for ₹ 5,00,000 from Mehta Bros.
March 10	Sold goods for ₹ 8,00,000 to Munjal & Co.
March 15	Paid for advertisement ₹ 40,000 by cheque.
March 18	Purchased furniture for office use ₹ 50,000 and payment made by cheque.
March 25	Paid for printing and stationery ₹ 8,000.
March 31	Payment made of balance amount of GST.

Open 'T' shape account of our Debtor 'Ram' and write the following transactions on proper side:

		(₹)
i.	Sold goods to Ram on Credit	20,000
ii.	Received from Ram	15,000
iii.	Ram returned goods to us	3,000
iv.	Again sold goods to Ram on Credit	10,000
v.	Ram returned goods to us	1,000

Rectify the following errors:

1. Sales to Vinod of ₹ 143 posted to his account as ₹ 134.
2. Sales to Vinod of ₹ 143 debited to his account as ₹ 134.
3. Sales to Vinod of ₹ 143 credited to his account as ₹ 134.

Enter the following transactions in the Purchase Journal (Book) of M/s Gupta Traders of July
01 Bought from Rahul Traders as per invoice no.20041

40 Registers @ ₹ 60 each

80 Gel Pens @ ₹ 15 each

50 note books @ ₹ 20 each

Trade discount 10%.

15 Bought from Global Stationers as per invoice no.1132

40 Ink Pads @ ₹ 8 each

50 Files @ ₹ 10 each

50 Files @ ₹ 10 each

Trade Discount 5%

23 Purchased from Lamba Furniture as per invoice no. 3201

2 Chairs @ 600 per chair

1 Table @ 1000 per table

25 Bought from Mumbai Traders as per invoice no.1111

10 Paper Rim @ ₹ 100 per rim

400 drawing Sheets @ ₹ 3 each

20 Packets waters colour @ ₹ 40 per packet