Question
What is the object of preparing an account?
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Answer
The main objective is to keep systematic records:
- To determine profits and loss.
- To ascertain financial position.
- To communicate the information.
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Prepare the Vouchers to be recorded in the books of M/s Elegant Furnitures, New Delhi:
Transactions marked with * are subject to levy of CGST and SGST @ 6% each.
|
2019
|
Particular
|
₹
|
|
Jan-1
|
Bought furniture from Modern Furniture for cash vide Cash Memo No. 241*
|
7,500
|
|
Jan-8
|
Paid cash to Mani & Sons for purchase of 2 machines vide Cash Memo No. 1230*
|
5,000
|
|
Jan-20
|
Paid for conveyance
|
150
|
|
Jan-27
|
Sold old typewriter for cash vide cash receipt No. 314*
|
500
|
Journalise the following transactions, post to the ledger:
|
2017
|
|
₹
|
|
|
Nov. 01
|
Business started with
|
(i) Cash
|
1,50,000
|
|
|
|
(ii) Goods
|
50,000
|
|
Nov. 03
|
Purchased goods from Harish
|
30,000
|
|
|
Nov. 05
|
Sold goods for cash
|
12,000
|
|
|
Nov. 08
|
Purchase furniture for cash
|
5,000
|
|
|
Nov. 10
|
Cash paid to Harish on account
|
15,000
|
|
|
Nov. 13
|
Paid sundry expenses
|
200
|
|
|
Nov. 15
|
Cash sales
|
15,000
|
|
|
Nov. 18
|
Deposited into bank
|
5,000
|
|
|
Nov. 20
|
Drew cash for personal use
|
1,000
|
|
|
Nov. 22
|
Cash paid to Harish in full settlement of account
|
14,700
|
|
|
Nov. 25
|
Good sold to Nitesh
|
7,000
|
|
|
Nov. 26
|
Cartage paid
|
200
|
|
|
Nov. 27
|
Rent paid
|
1,500
|
|
|
Nov. 29
|
Received cash from Nitesh
|
6,800
|
|
|
|
Discount allowed
|
200
|
|
|
Nov. 30
|
Salary paid
|
3,000
|
|
Determine the missing amounts on the basis of the Accounting Equation:
|
S.no
|
Assets
|
=
|
Liabilities
|
+
|
Capital
|
|
(i)
|
₹ 20,000
|
=
|
₹ 15,000
|
+
|
?
|
|
(ii)
|
?
|
=
|
₹ 5,000
|
+
|
₹ 10,000
|
|
(iii)
|
₹ 10,000
|
=
|
?
|
+
|
₹ 8,000
|
What do you understand by 'debit' and 'credit? Do you think 'debit' always stands for decrease in amount and credit for increase?
Explain how the following transactions would be recorded in a Cash Book with Cash and Bank Columns?
Deposit of cheques (received from others) into Bank.
Deposit of cheques (received from others) into Bank.
Fill in the missing information in the following journal entries:
You are to open the books of Rajesh Prabhu, Gurugram (Haryana) a trader, through the Journal to record the assets and liabilities and then post the transactions to the Ledger for the month of April, 2019.
Inter-state transactions are subject to levy of IGST @ 12% and Intra-state transactions are subject to levy of CGST and SGST @ 6% each. GST is not levied on transactions marked with (*).
Inter-state transactions are subject to levy of IGST @ 12% and Intra-state transactions are subject to levy of CGST and SGST @ 6% each. GST is not levied on transactions marked with (*).
Record journal entries for the following transactions in the books of Anudeep of Delhi:
- Bought goods ₹ 2,00,000 from Kanta of Delhi (CGST @ 9%, SGST @ 9%)
- Bought goods ₹ 1,00,000 for cash from Rajasthan (IGST @ 12%)
- Sold goods ₹ 1,50,000 to Sudhir of Punjab (IGST @ 18%)
- Paid for Railway Transport ₹ 10,000 (CGST @ 5%, SGST @ 5%)
- Sold goods ₹ 1,20,000 to Sidhu of Delhi (CGST @ 9%, SGST @ 9%)
- Bought Air-Condition for office use ₹ 60,000 (CGST @ 9%, SGST @ 9%)
- Sold goods ₹ 1,50,000 for cash to Sunil to Uttar Pradesh (IGST 18%)
- Bought Motor Cycle for business use ₹ 50,000 (CGST 14%, SGST @ 14%)
- Paid for Broadband services ₹ 4,000 (CGST @ 9%, SGST @ 0%)
- Bought goods ₹ 50,000 from Rajesh, Delhi (CGST @ 9%, SGST @ 9%)