Q23. P sold goods to Q for Rs. 10,000 on January 1, 2015 and on the same day draws a bill on Q for the same amount for 3 months. Q accepts it and returns it to P, who discounts it on 10thJanuary 2015 with his bank for Rs. 9,850.
The acceptance is dishonored on the due date and noting charges were paid by bank being Rs.50.
On 4th April, Q paid Rs. 2,050 (including noting charges ) in cash and accepted a new bill at 3 months for the amount due to P together with interest @ 12% p.a.
Make journal entries in the books of P and Q to record these transactions. Which value is being violated when the bill is dishonored.
