Journal Entries Question & Answer

   1.     Started business with Cash Rs.2, 00,000

   2.     Purchased Goods from Amit Suppliers on credit of Rs.1, 50,000.

   3.     Deposit Cash in to Bank Rs. 25,000

   4.     Sold goods to Dynamic Traders Pvt. Ltd. of Rs. 1, 30,000

   5.     Received a cheque of Rs. 1, 27,000 from Dynamic Traders Pvt. Ltd.

   6.     Issued a cheque of Rs. 1, 00,000 as a partial payment to Amit Suppliers.

Required:-

1. Prepare Journal Entries
2. Posting Ledger
3. Prepare Trial Balance
4. Prepare Final Account ( Trading, P/L & Balance Sheet)

Date	Particular	L/F	Dr. Amount	Cr. Amount
1			54000 30000 25000 40000 5400 10000 24775 20000 225 78600 5000 40000	54000 30000 25000 40000 5400 10000 45000 77600 1000 45000
2	Mr. R a/c………………………………………..Dr.    To Sales a/c (Being,
3	Mr. H a/c………………………………………..Dr.    To Sales a/c (Being,
4	Purchased a/c…………………………………Dr.    To Mr. R a/c (Being,
4	Mr. H a/c………………………………………..Dr.    To Sales a/c (Being,
5	Mr. R a/c……………………………………….Dr.    To Purchase Return a/c (Being,
6	Mr. H a/c……………………………………..Dr.    To Sales a/c (Being,
7	Cash a/c…………………………………..…Dr. Bank a/c…………………….…………….…..Dr. Discount a/c………………..………….…….Dr.    To Mr. H a/c (Being,
8	Mr. R a/c………………………………………Dr.    To Bank a/c    To Discount Received a/c (Being,
9	Bank a/c……………………………………..Dr. Bad Debt a/c……………………………….Dr.    To Mr. H a/c (Being,
Total…………………………………………………………………….

Ledger Account

Capital A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
1	To Capital a/c By Balanced b/d		2,00,000		By Balanced c/d		2,00,000
			2,00,000				2,00,000
			2,00,000

Cash A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
2	To Cash a/c To Balanced c/d		25,000 1,75,000		By Cash a/c By Balanced b/d		2,00,000
			2,00,000				2,00,000
							1,75,000

Purchased A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
3	To Balanced c/d		1,50,000		By Purchase a/c By Balanced b/d		1,50,000
			1,50,000				1,50,000
							1,50,000

Bank A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
4	To Bank a/c To Balanced c/d		1,00,000 52,000		By Bank a/c By Bank a/c By Balanced b/d		25,000 1,27,000
			1,52,000				1,52,000
							52,000

Sales A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
5	To Sales a/c To Balanced b/d		1,30,000		By Balanced c/d		1,30,000
			1,30,000				1,30,000
			1,30,000

Amit Suppliers A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
6	To Amit Suppliers a/c To Balanced c/d		1,50,000		By Amit Suppliers a/c By Balanced c/d		1,00,000 50,000
			1,50,000				1,50,000
			50,000

Dynamic Traders A/c

Date	Particular	L/F	Amount	Date	Particular	L/F	Amount
7	To Dynamic Traders To Balanced c/d		1,27,000 3,000		By Dynamic Traders a/c By Balanced b/d		1,30,000
			1,30,000				1,30,000
							3,000

Trial Balance

Date	Particular	L/F	Dr. Amount	Cr. Amount
1 2 3 4 5 6 7	Capital a/c Cash a/c Purchased a/c Bank a/c Sales a/c Dynamic Traders a/c Amit Suppliers a/c		1,75,000 1,50,000 52,000 3,000	2,00,000 1,30,000 50,000
Total......................................................................................			3,80,000	3,80,000

Final Account

Trading A/c

Particular	Amount	Particular	Amount
To Purchase a/c	1,50,000	By Sales a/c By Gross Loss c/d	1,30,000 (20,000)
	1,50,000		1,50,000

P/L A/c

Particular	Amount	Particular	Amount
To Gross Loss b/c	-20,000	By Net Loss c/d	-20,000
	-20,000		-20,000

Balance sheet

Liabilities	Amount	Assets	Amount
Capital                  2,00,000 Less:- Net Loss       -20000 Sundry Creditor	1,80,000 50,000	Cash Bank Sundry Debtor	1,75,000 52,000 3,000
	2,30,000		2,30,000

Prepare journal entries

1. Rs.6000 was stolen from the safe of the firm.

2. Received an order from Kapil for the supply of goods worth Rs. 240000. In this connection we received Rs. 120000 as Advance.

3. Goods sold for cash Rs. 60000. Also received 7 % sales tax.

4. Given as Charity: Cash Rs. 6000, Goods Rs. 18000 & Sofa-set worth Rs. 24000.

5. Goods worth Rs. 4200 stolen by an employee.

6. Purchase two House worth Rs. 110000 for the business.

7. Goods given to proprietor daughter Rs. 1800.

8. Goods worth Rs. 6000 Destroyed by fire.

9. Goods worth Rs. 12000 distributed as sample.

10. Bricks worth Rs. 600000 purchased for the construction of building.

11. Received cash from Rita against bad debt Rs. 22000 written off last year, Rs. 19800.

12. Place an order with Raj & Co. For the supply of goods costing Rs. 100000. In the connection, we paid 10 % advance.

Date	Particular	L/F	Dr. Amount	Cr. Amount
1	Loss by thief a/c..........................................Dr.    To cash a/c (Being, Cash was stolen from the safe of the firm)		6,000 1,20,000 64,200 48,000 4,200 1,10,000 1,800 6,000 12,000 6,00,000 19,800 10,000	6,000 1,20,000 64,200 6,000 18,000 24,000 4,200 1,10,000 1,800 6,000 12,000 6,00,000 19,800 10,000
2	Cash a/c......................................................Dr.    To Kapil a/c (Being, Cash received in Advance for the supply of goods)
3	Cash a/c........................................................Dr.    To Sales a/c (Being, Goods sold for cash & received in sales tax)
4	Charity Fond a/c..........................................Dr.    To Cash a/c    To Purchased Goods a/c    To Furniture a/c (Being, Give charity fond Cash, Goods & Furniture)
5	Loss by Employee a/c.............................Dr.    To Purchase a/c (Being, Goods stolen by an Employee)
6	Purchase a/c...........................................Dr.    To Cash a/c (Being, Purchase two House for the business use)
7	Drawing a/c...........................................Dr.    To Purchase a/c (Being, Goods given to proprietor daughter)
8	Loss Due to Fire a/c............................Dr.    To Purchase a/c (Beings,
9	Sample Expense a/c..............................Dr.    To Purchase a/c (Beings,
10	Bricks a/c..............................................Dr.    To Cash a/c (Being,
11	Bad Debt Recovered a/c..........................Dr.    To Rita a/c (Being, Bad Debt recovered from Rita)
12	Raj & Co. a/c...........................................Dr.    To Cash a/c (Beings,
Total........................................................................................			10,02,000	10,02,000

Journal the following transaction in the books of Mr. X for the month of January 2013

Jan-1 X having no capital of his own started business with Rs. 10000 borrows from his friend Mr. R @12% p.a

Jan-2Purchased goods worth Rs. 6000 less 20% trade discount and 5% cash discount. Mr. M & Co. For cash and supplied then to Mr. R at least price less 10%.

Jan-3Goods worth Rs. 200 was damaged in transit a claim was made on the railway authority for the same.

Jan-4Under instruction from Mr. M & Co, X supplied goods listed at Rs. 1000 to Mr. S. Received the invoice at 20% trade discount from Mr. M & co.

Jan-5Received cash from Railway in the full settlement of claim for damages in transit.

Jan-6Received from travelling sales man Rs. 1400 for goods sold by him after deducting his travelling expenses Rs. 50.

Jan-7 Mr. S declared his insolvent and dividend of 50 Paise in the Rupees is received from him in the full settlement of his account.

Jan-8 Bought a horse for Rs. 600 as a carriage for Rs. 1200 for delivering goods to the customers.

Jan-9Bought goods worth Rs. 700 from Mr. D and supplied them to Mr. K at Rs. 1000.

Jan-10 Mr. K returned goods worth Rs. 50 which in turn was sent to Mr. D.

Jan-11 one month interest to Mr. R on capital supplied by him due but could not be paid.

Jan-12 The horse bought on 8^th January died on his body was sold for Rs. 30.

Date	Particular	L/F	Dr. Amount	Cr. Amount
Jan-1	Cash a/c...........................................Dr.    To Mr. R a/c (Being,		10000 4800 5400 200 800 200 1400 50 500 500 600 1200 700 1000 50 35 100 30 570	10000 4560 240 5400 200 800 200 1450 1000 1800 700 1000 50 35 100 600
Jan-2	Purchased a/c...................................Dr.    To Cash a/c    To Discount Received a/c (Being,
Jan-2	Mr. R a/c ..........................................Dr.    To Sales a/c (Being,
Jan-3	Railway Claim a/c......................Dr.    To Purchased a/c (Being,
Jan-4	Mr. M a/c.....................................Dr.    To Sales a/c (Being,
Jan-5	Cash a/c ............................Dr.    To Railway Authority a/c (Being,
Jan-6	Cash a/c................................................Dr Travelling Sales man Expenses a/c......Dr     To Sales a/c (Being,
Jan-7	Cash a/c.............................Dr. Bad debt a/c.......................Dr.    To Mr. S a/c (Being,
Jan-8	Stock (Horse) a/c.................................Dr Carriage Expenses a/c............Dr    To Cash a/c (Being,
Jan-9	Purchased a/c.......................Dr   To Mr. D a/c (Being,
Jan-9	Mr. K a/c .................................Dr    To Sales a/c (Being,
Jan-10	Sales Return a/c........................Dr.    To Mr. K a/c (Being,
Jan-10	Mr. D a/c...........700/1000*50=35......Dr.   To Purchased Return a/c (Being,
Jan-11	Interest a/c..................................Dr.   To Mr. R Loan a/c (Being,
Jan-12	Cash a/c..........................Dr. Loss a/c...........................Dr   To Live Stock a/c (Being,
Total.......................................................................

Journalise the following transaction in the books of Ram. Post them in the ledger and balanced the various accounts opened in the ledger.

April-2 Ram started his business with Cash Rs. 70000.

April-3Deposited in to Bank Rs. 50000.

April-4Purchased goods for cash from Mr. X Rs. 5000.

April-5Bought goods on credit from Mr. Y Rs. 6000.

April-6Returned goods to Mr. Y Rs. 1000.

April 10Sold goods for cash to Mr. A Rs. 6000.

April-15Sold goods to Mr. B Rs. 6000.

April-16 Mr. B returns goods Rs. 1000.

April-17Drew from Bank for personal use Rs. 5000.

April-25Paid to Mr. Y in full Settlement by Cheque Rs. 4800.

April-26Received a cheque from Mr. B in full settlement Rs. 4900.

April-27Draw cash from bank for office use Rs. 10000.

April-30Draw cash for personal purpose Rs. 5000.

April-30Paid salary to staff Rs. 5000.

April-30Issued a cheque for Rs. 3000 in favour of Shri Devi a landlady towards rent for April.

April-30Withdraw goods for personal use Rs. 1000.

Date	Particular	L/F	Dr. Amount	Cr. Amount
April-2	Cash a/c.............................................Dr.    To Capital a/c (Being, Ram Started business with Cash)		70000 50000 5000 6000 1000 6000 6000 1000 5000 5000 4900 100 10000 5000 5000 3000 1000	70000 50000 5000 6000 1000 6000 6000 1000 5000 4800 200 5000 10000 5000 5000 3000 1000
April-3	Bank a/c.............................................Dr.    To Cash a/c (Being, Cash deposit in to Bank)
April-4	Purchased a/c....................................Dr.    To Cash a/c (Being, Purchased goods for cash from Mr. X)
April-5	Purchased a/c...................................Dr.    To Mr. Y a/c (Being, Bought goods on credit from Mr. Y)
April-6	Mr. Y a/c..........................................Dr.    To Purchased Return a/c (Being, Returned goods to Mr. Y)
April-10	Cash a/c...........................................Dr.    To Sales a/c (Being, Sold goods for cash to Mr. A)
April-15	Mr. B a/c...............................................Dr.    To Sales a/c (Being, Sold goods to Mr. B on Credit)
April-16	Sales Return a/c.....................................Dr.    To Mr. B a/c (Being, Mr. B returns goods)
April-17	Drawing a/c..........................................Dr.    To Bank a/c (Being, Drawing from Bank for personal use)
April-25	Mr. Y a/c.................................................Dr.    To Bank a/c    To Discount Received a/c (Being, Paid to Mr. Y in full Settlement by Cheque  & allowed him discount)
April-26	Bank a/c..................................................Dr. Discount Allowed a/c..............................Dr.    To Mr. B a/c (Being, Received a cheque from Mr. B in full settlement &
April-27	Cash a/c..................................................Dr.    To Bank a/c (Being, Draw cash from bank for office use)
April-30	Drawing a/c............................................Dr.    To Cash a/c (Being,
April-30	Salary a/c................................................Dr.    To Cash a/c (Being, Paid salary to staff)
April-30	Rent a/c..................................................Dr.    To Bank a/c (Being, Issued a cheque for Rs. 3000 in favour of Shri Devi a landlady towards rent for April.)
April-30	Drawing a/c............................................Dr.    To Purchase a/c (Being, Withdraw goods for personal use)
Total.............................................................................................			184000	184000

Prepare Journal Entries

1. Business started with cash in Hand Rs. 5,00,000, Nabil Bank Balance Rs. 40,0000, Citizen Bank Balance Rs. 1,00,000 And Loan From Nepal Rastra Bank Rs. 2,00,000.
2. Goods purchased from Ganesh Traders of Rs. 30,000 on Credit.
3. Goods Sold to Him star Enterprises Pvt. Ltd. Of Rs. 30,000 & Cash received Rs. 16,000.
4. Electricity Charges Paid at the end of April 1^st month Rs. 4,000 & Telephone Charges Rs. 2,500 on the same date.
5. Plant & Machinery purchased from Ramesh Agro & Sales Co. of Rs. 2, 50,000 & Made partial Payment of Cash Rs. 1, 00,000.
6. Furniture purchase on Cash Rs. 20,000.
7. Interest on Investment money was collected Rs.2800 & Paid in to Nabil Bank by Cheque No. 1285.
8. A cheque of Rs. 1700 as commission provided to us by an Agent for providing him services of solution for technology.
9. Nabil Bank charges the Amount of Interest Rs. 20,000.
10. Furniture Purchase for Rs. 20,000.
11. Depreciation charge on Plant & machinery Rs. 8000 during the year.
12. Furniture Purchase for Rs. 20,000 was depreciated @ 10% per annum.
13. Salary due was recorded Rs. 35,000 during the end of year.
14. Cash paid for the travelling expenses Rs. 2000.
15. Cash paid for Audit fee Rs. 20,000.
16. Cash paid for rent Rs. 15,000.
17. Cash paid for salary Rs. 80,000.
18. Cash paid for goods purchased on cash Rs. 3, 00,000.
19. Interest received Rs. 2500.
20. Cash sales made of Rs. 4, 00,000.

Date	Particular	L/F	Dr.Amount	Cr. Amount
1	Cash a/c……………………………………Dr.    To Capital a/c    To NRB Loan a/c (Being,		12,00,000 30,000 16,000 14,000 4,000 2,500 2,50,000 20,000 2,800 2,800 2,700 20,000 20,000 8,000 2,000 35,000 2,000 20,000 15,000 80,000 3,00,000 2,500 4,00,000	10,00,000 2,00,000 30,000 30,000 4,000 2,500 1,00,000 1,50,000 20,000 2,800 2,800 2,700 20,000 20,000 8,000 2,000 35,000 2,000 20,000 15,000 80,000 3,00,000 2,500 4,00,000
2	Purchased a/c…………………………….Dr.    To Manocamana Traders a/c (Beings,
3	Cash a/c……………………………………Dr. Him Star a/c……………………………….Dr.    To Sales a/c (Beings,
4	Electricity Charge a/c……………………….Dr.    To Cash a/c (Beings,
4	Telephone Charge a/c…………………………Dr.    To cash a/c (Beings,
5	Purchased a/c……………………………….Dr.    To Cash a/c    To Krishna & Sales Agro a/c (Beings,
6	Furniture a/c………………………………..Dr.    To Cash a/c (Beings,
7	Accrued Income a/c………………………Dr.    To Interest on Investment a/c (Beings,
7	Nabil Bank a/c……………………………Dr.    To Bank a/c (Beings,
8	Commission Received a/c…………………Dr.    To Bank a/c (Beings,
9	Nabil Bank a/c……………………………..Dr.    To Interest on Cash a/c (Beings,
10	Furniture a/c……………………………..Dr.    To cash a/c (Beings,
11	Depreciation a/c……………………..Dr.    To Plant & Machinery a/c (Beings,
12	Depreciation on Furniture a/c……………Dr.    To Furniture a/c (Beings,
13	Salary a/c…………………………………Dr.    To Outstanding Salary a/c (Beings,
14	Travelling Expenses a/c………………………Dr.    To Cash a/c (Beings,
15	Audit fee a/c………………………………………Dr.     To cash a/c (Beings,
16	Rent a/c……………………………………..Dr.    To cash a/c (Beings,
17	Salary a/c………………………………………..Dr.   To Cash a/c (Beings,
18	Purchased a/c………………………………..Dr.    To cash a/c (Beings,
19	Accrued Income a/c………………………….Dr.    To Interest Received a/c (Beings,
20	Cash a/c…………………………………………Dr.     To Sales a/c (Beings,
Total………………………………………………………………

Enter the following transaction in to journal and post in to ledger

Jan-1Assets are cash in hand Rs.22, Bank Rs.38, Plant & Machinery Rs.5, Furniture & Fixture Rs.99 and liability are Mr.Rs.2000, capital Rs.10000.

Jan-2Sold goods by cash to Ram Rs.100

Jan-3Sold goods to shyam Rs.200

Jan-4Goods return by Shyam Rs.14

Jan-5carriage outward paid Rs.50

Jan-6Carriage in ward paid Rs.100

Jan-7Cheque paid to Mr. Rs 1980 in full settlement of his Account.

Jan-8 Sold goods by cash Rs.80, Paid telephone bill Rs.500, purchased goods from Mr. Y Rs.20

Journal Entries As on..........

Date	Particular	L/F	Dr. Amount	Cr. Amount
Jan1	Cash a/c..............................Dr Bank a/c..............................Dr Machinery a/c.....................Dr Furniture& fixture a/c........Dr Good will a/c......................Dr     To capital a/c     To Mr. a/c (Being,		22 38 5 99 11836 100 200 14 50 100 1980 20 80 500 20	10000 2000 100 200 14 50 100 2000 80 500 20
Jan2	Cash a/c............................Dr     To Sales a/c (Being,
Jan3	Shyam a/c......................Dr    To sales a/c (Being,
Jan4	Sales return a/c ........................Dr    To Shyam a/c (Being,
Jan5	Carriage outward a/c....................Dr    To cash a/c (Being,
Jan6	Carriage in ward a/c..........................Dr    To cash a/c (Being,
Jan7	Mr. a/c...........................................Dr Discount received a/c....................Dr     To Bank a/c (Being,
Jan8	Cash a/c............................Dr     To Sales a/c (Being,
Jan8	Telephone Expenses a/c.......................Dr    To Cash a/c (Being,
Jan8	Purchase a/c............................Dr    To Mr. Y a/c (Being,
Total.......................................................................................

Ledger

Cash a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
Jan2 Jan8	To Sales a/c To Sales a/c		100 80	Jan5 Jan6 Jan8	By carriage outward By carriage in ward a/c By Telephone Exp. a/c		50 100 500

Sales a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
				Jan2 Jan3 Jan8	By Cash a/c By Shyam a/c By Cash a/c		100 200 80

Shyam a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Sales a/c		200		By Sales Return a/c		14

Bank a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
					By Mr. X a/c		1980

Mr. X A/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Bank a/c		1980

Sales return a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Shyam a/c		14

Carriage in ward a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To cash a/c		100

Carriage out ward a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Cash a/c		50

Mr. Y a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
					By Purchased a/c		20

Telephone Expenses a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Cash a/c

Purchased a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Mr. Y a/c		20

Discount Received a/c

Date	Particular	J/f	Amount	Date	Particular	J/F	Amount
	To Bank a/c		20

Prepare The Journal Entries

   1.     Mr. A starts business by introducing capital of Rs.2000000 in Cash.

   2.     Mr. A deposited 1500000 in to the Bank.

   3.     Mr. A purchased would & other necessary material of Rs.800000 by making payment by cheque.

   4.     Mr. A purchased wood cutting machine of Rs.300000 by making payment in cash.

   5.     Mr. A purchased furniture for resale of Rs.500000 from m/s furniture suppliers in credit.

   6.     Mr. A Purchased furniture for Own (Business) use of Rs. 100000 by making payment by cheque.

   7.     Mr. A sold furniture of Rs.800000 in cash.

   8.     Mr. A sold furniture of Rs. 400000 to Mr. B in credit.

   9.     Mr. B returns furniture worth Rs.200000

  10.  Mr. A pay rent of Rs. 50000 in cash.

  11.  Mr. A paid wages for the labor of rs.80000 in Cash.

                                                               Journal Entries As on..........

Date	Particular	L/F	Dr. Amount	Cr. Amount
1	Cash a/c………………………………….Dr.    To Capital a/c (Being,		20,00,000 15,00,000 8,00,000 3,00,000 5,00,000 1,00,000 8,00,000 4,00,000 2,00,000 50,000 80,000	20,00,000 15,00,000 8,00,000 3,00,000 5,00,000 1,00,000 8,00,000 4,00,000 2,00,000 50,000 80,000
2	Bank a/c………………………………….Dr.    To Cash a/c (Being,
3	Purchased a/c…………………………….Dr.    To Bank a/c (Being,
4	Machinery a/c…………………………….Dr.   To cash a/c (Being,
5	Purchased a/c……………………………..Dr.    To M/s Furniture a/c (Being,
6	Furniture a/c………………………….….Dr.    To Bank a/c (Being,
7	Cash a/c………………………………….Dr.    To Sales a/c (Being,
8	Mr. B a/c………………………………….Dr.    To Sales a/c (Being,
9	Sales Returns a/c…………………………Dr.    To Mr. B a/c (Being,
10	Rent a/c……………………………….…Dr.    To Cash a/c (Being,
11	Wages a/c……………………………….Dr.    To Cash a/c (Being,
Total……………………………………………………………