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Page No 16.34:
Question 1:
Calculate the due dates of the bills in the following cases:
Date of Bill
|
Tenure (Period)
|
|
(i)
|
1st December, 2017 |
60 Days
|
(ii)
|
30th April, 2018 |
2 Months
|
(iii)
|
28th January, 2018 |
1 Month
|
(iv)
|
23rd November, 2017 |
2 Months
|
(v)
|
29th May, 2017 |
4 Months
|
Answer:
Date of Bill |
Tenure |
Calculation |
Due Date |
(i) December 01, 2017 |
60 Days |
30 (December) + 30 (January) + 3 days of grace |
February 02, 2018 |
(ii) April 30, 2018 |
2 Months |
2 Months from April 30, 2016 would be June 30, 2016 + 3 days of grace |
July 03, 2018 |
(iii) January 28, 2018 |
1 Month |
1 Month from January 28, 2017 would be February 28, 2017 + 3 days of grace |
March 03, 2018 |
(iv) November 23, 2017 |
2 Months |
2 Months from November 23, 2016 would be January 23, 2017 + 3 days of grace |
January 26, 2017, but it is a national holiday so, due date would be one day before i.e., January 25, 2017 |
(v) May 29, 2017 |
4 Months |
4 Months from May 29, 2017 would be September 29, 2017 + 3 days of grace |
October 02, 2017 but it is a national holiday so, due date would be one day before i.e., October 01, 2017 |
Note: Due date of (ii) is mismatched from the book. As per our solution, it is 3rd July, 2018 and it is 3rd July, 2017 as per text book.
Due date of (iii) is mismatched from the book. As per our solution, it is March 03, 2017 and it is March 01, 2017 as per text book.
Page No 16.34:
Question 2:
On 10th March, 2018, A draws on B a bill at 3 months for ₹20,000 which B accepts immediately and returns to A. The bill is honoured due date.
Pass necessary Journal entries in the books of both the parties.
Answer:
Journal
in the books of A (Drawer)
|
|||||
Date
|
Particulars
|
L.F.
|
Debit
Amount
(₹)
|
Credit
Amount
(₹)
|
|
2018
|
|
|
|
||
Mar 10
|
Bills Receivable A/c |
Dr.
|
20,000
|
|
|
|
To B’s A/c |
|
|
20,000
|
|
|
(Bill received) |
|
|
|
|
|
|
|
|
||
June 13
|
Cash A/c |
Dr.
|
20,000
|
|
|
|
To Bills Receivable A/c |
|
|
20,000
|
|
|
(Cash received against bill) |
|
|
|
Journal
in the books of B (Drawee)
|
|||||
Date
|
Particulars
|
L.F.
|
Debit
Amount
(₹)
|
Credit
Amount
(₹)
|
|
2018
|
|
|
|
||
Mar 10
|
A A/c |
Dr.
|
20,000
|
|
|
|
To Bills Payable A/c |
|
|
20,000
|
|
|
(Bill accepted) |
|
|
|
|
|
|
|
|
||
June 13
|
Bills Payable A/c |
Dr.
|
20,000
|
|
|
|
To Cash A/c |
|
|
20,000
|
|
|
(Cash paid against bill) |
|
|
|
Page No 16.34:
Question 3:
On 1st January, 2018, A sold goods to B for ₹ 5,000 plus IGST @ 18%. A received ₹ 900 by cheque from B and drew on him a bill for the balance amount payable 3 months after date. The bill was duly accepted by B. A retained the bill till due date. On due date, the bill was paid. Pass Journal entries in the books of A and B. Also, show necessary accounts in the books of both the parties.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Jan.01 |
B |
Dr. |
|
5,900 |
|
|
To Sales A/c |
|
|
5,000 |
|
|
(Goods sold to B plus IGST @ 18%) |
|
|
|
|
|
|
|
|
|
|
Jan.01 |
Bills Receivable A/c |
Dr. |
|
5,000 |
|
|
To B |
|
|
5,000 |
|
|
(B accepted the bill and paid IGST by cheque) |
|
|
|
|
|
|
|
|
|
|
Apr.04 |
Cash A/c |
Dr. |
|
5,000 |
|
|
To Bills Receivable A/c |
|
|
5,000 |
|
|
(Amount of bill received on its maturity) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Jan.01 |
Purchases A/c |
Dr. |
|
5,000 |
|
|
To A |
|
|
5,900 |
|
|
(Goods bought from A plus IGST @ 18%) |
|
|
|
|
|
|
|
|
|
|
Jan.01 |
A |
Dr. |
|
5,900 |
|
|
To Bills Payable A/c |
|
|
5,000 |
|
|
(Bill drawn by A accepted and IGST paid by cheque) |
|
|
|
|
|
|
|
|
|
|
Apr.04 |
Bills Payable A/c |
Dr. |
|
5,000 |
|
|
To Cash A/c |
|
|
5,000 |
|
|
(Payment of bill was made on its due date ) |
|
|
|
|
|
|
|
|
|
Page No 16.34:
Question 4:
Manish sold goods to Kumar for ₹ 10,000 plus CGST and SGST @ 9% each. He received ₹ 1,800 in cash and drew on him a bill for ₹ 10,000 payable 3 months after date. Kumar accepted the bill and returned it to Manish. On due date, Manish presented the bill to Kumar who honoured it.
Pass Journal entries in the books of both the parties.
Answer:
Books of Manish |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Kumar |
Dr. |
|
11,800 |
|
|
To Sales A/c |
|
|
10,000 |
|
|
(Goods sold to Kumar plus CGST and SGST @ 9% each) |
|
|
|
|
|
|
|
|
|
|
|
Bills Receivable A/c |
Dr. |
|
10,000 |
|
|
To Kumar |
|
|
11,800 |
|
|
(Kumar accepted the bill and Paid GST in cash) |
|
|
|
|
|
|
|
|
|
|
|
Cash A/c |
Dr. |
|
10,000 |
|
|
To Bills Receivable A/c |
|
|
10,000 |
|
|
(Bill honoured on maturity) |
|
|
|
|
|
|
|
|
|
Books of Kumar |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Purchases A/c |
Dr. |
|
10,000 |
|
|
To Manish |
|
|
11,800 |
|
|
(Goods bought from Manish plus CGST and SGST @ 9% each) |
|
|
|
|
|
|
|
|
|
|
|
Manish |
Dr. |
|
11,800 |
|
|
To Bills Payable A/c |
|
|
10,000 |
|
|
(Bill drawn by Manish accepted and GST paid in cash) |
|
|
|
|
|
|
|
|
|
|
|
Bills Payable A/c |
Dr. |
|
10,000 |
|
|
To Cash A/c |
|
|
10,000 |
|
|
(Acceptance discharged by paying in Cash) |
|
|
|
|
|
|
|
|
|
Page No 16.34:
Question 5:
Vinod sold goods to Darbara Singh for ₹ 1,000. He drew on the latter a bill for the amount payable 3 months after date.He discounted the bill with his bankers for ₹ 990. On maturity, the bill is duly met. Make the Journal entries in the books of Vinod and Darbara Singh.
Answer:
Books of Vinod |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Darbara Singh |
Dr. |
|
1,000 |
|
|
To Sales A/c |
|
|
1,000 |
|
|
(Goods sold to Darbara Singh) |
|
|
|
|
|
|
|
|
|
|
|
Bills Receivable A/c |
Dr. |
|
1,000 |
|
|
To Darbara Singh |
|
|
1,000 |
|
|
(Bills accepted by Darbara Singh) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
990 |
|
|
Discount Charges A/c |
Dr. |
|
10 |
|
|
To Bills Receivable A/c |
|
|
1,000 |
|
|
(Darbara Singh’s acceptance discounted at 9% p.a. for 3 month) |
|
|
|
|
|
|
|
|
|
Books of Darbara Singh |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Purchases A/c |
Dr. |
|
1,000 |
|
|
To Vinod |
|
|
1,000 |
|
|
(Goods bought from Vinod ) |
|
|
|
|
|
|
|
|
|
|
|
Vinod |
Dr. |
|
1,000 |
|
|
To Bills Payable A/c |
|
|
1,000 |
|
|
(Bill drawn by Vinod accepted) |
|
|
|
|
|
|
|
|
|
|
|
Bills Payable A/c |
Dr. |
|
1,000 |
|
|
To Bank A/c |
|
|
1,000 |
|
|
(Payment of bill was made on its due date.) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 6:
Dinesh received from Shridhar an acceptance for ₹ 3,000 on 1st September, 2016 at 3 months. Dinesh got the acceptance discounted at 9% p.a. from his bank. On the due date, Shridhar paid the required amount.
Give the Journal entries in the books of Dinesh and Shridhar.
Answer:
Books of Dinesh |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2016 |
|
|
|
|
|
Sep.01 |
Bills Receivable A/c |
Dr. |
|
3,000 |
|
|
To Shridhar |
|
|
3,000 |
|
|
(Shridhar acceptance was received) |
|
|
|
|
|
|
|
|
|
|
Sep.01 |
Bank A/c |
Dr. |
|
2,932.50 |
|
|
Discount Charges A/c |
Dr. |
|
67.50 |
|
|
To Bills Receivable A/c |
|
|
3,000 |
|
|
(Shridhar’s acceptance was discounted with bank) |
|
|
|
|
|
|
|
|
|
Books of Shridhar |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2016 |
|
|
|
|
|
Sep.01 |
Dinesh |
Dr. |
|
3,000 |
|
|
To Bills Payable A/c |
|
|
3,000 |
|
|
(Bills drawn by Shridhar accepted) |
|
|
|
|
|
|
|
|
|
|
Dec.04 |
Bills Payable A/c |
Dr. |
|
3,000 |
|
|
To Bank A/c |
|
|
3,000 |
|
|
(Shridhar’s acceptance discharged on its due date) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 7:
A drew a bill of ₹ 1,000 on B for 3 months which was duly accepted by the latter. A endorsed the bill to C in full payment of his own acceptance to C for a like amount. C endorsed the bill to B.
Pass the Journal entries in the books of A, B and C.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
1,000 |
|
|
To B |
|
|
1,000 |
|
|
(B’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
C |
Dr. |
|
1,000 |
|
|
To Bills Receivable A/c |
|
|
1,000 |
|
|
(B’s acceptance endorsed in favour of C) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
A |
Dr. |
|
1,000 |
|
|
To Bills Payable A/c |
|
|
1,000 |
|
|
(Bill drawn by A was accepted) |
|
|
|
|
|
|
|
|
|
|
|
Bills Payable A/c |
Dr. |
|
1,000 |
|
|
To Bills Receivable A/c |
|
|
1,000 |
|
|
(Amount owed from C was settled by Bill Payable) |
|
|
|
|
|
|
|
|
|
Books of C |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
1,000 |
|
|
To A |
|
|
1,000 |
|
|
(Bills Receivable was received from A) |
|
|
|
|
|
|
|
|
|
|
|
B |
Dr. |
|
1,000 |
|
|
To Bills Receivable A/c |
|
|
1,000 |
|
|
(Amount owed to B was settled by Bills Receivable) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 8:
A owed B ₹ 8,000. He gave a bill for the same on 1st August, 2017 payable after 4 months at the Bank of India. Chandni Chowk, Delhi. Immediately after receiving the bill, B endorsed it to C in payment of his debt. On 1st Sepetember, C discounted the bill at 12% p.a. The bill is met on due date.
Pass the necessary Journal entries in the books of A, B and C.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Aug.01 |
B |
Dr. |
|
8,000 |
|
|
To Bills Payable A/c |
|
|
8,000 |
|
|
(Bill drawn by B was accepted) |
|
|
|
|
|
|
|
|
|
|
Dec.04 |
Bills Payable A/c |
Dr. |
|
8,000 |
|
|
To Bank A/c |
|
|
8,000 |
|
|
(Payment made to meet the bill on its maturity) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Aug 01 |
Bills Receivable A/c |
Dr. |
|
8,000 |
|
|
To A |
|
|
8,000 |
|
|
(A’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
Aug 01 |
C |
Dr. |
|
8,000 |
|
|
To Bills Receivable A/c |
|
|
8,000 |
|
|
(A’s acceptance endorsed in favour of C) |
|
|
|
|
|
|
|
|
|
Books of C |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Aug 01 |
Bills Receivable A/c |
Dr. |
|
8,000 |
|
|
To B |
|
|
8,000 |
|
|
(Bills Receivable was received from B) |
|
|
|
|
|
|
|
|
|
|
Sep 01 |
Bank A/c |
Dr. |
|
7,760 |
|
|
Discount Charges A/c |
Dr. |
|
240 |
|
|
To Bills Receivable A/c |
|
|
8,000 |
|
|
(Bill discount at 12% p.a. for 3 months) |
|
|
|
|
|
|
|
|
|
Working Note:
Page No 16.35:
Question 9:
A sold goods to B for ₹ 20,000 plus CGST and SGST @ 9% each on credit 3 months. B paid A ₹ 3,600 by cheque and accepted a draft for the balance amount. The draft was endorsed in favour of C, who got the payment on maturity.
Give Journal entries in the books of A.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
B |
Dr. |
|
23,600 |
|
|
To Sales A/c |
|
|
20,000 |
|
|
(Goods sold to B plus CGST and SGST @ 9% each) |
|
|
|
|
|
|
|
|
|
|
|
Bills Receivable A/c |
Dr. |
|
20,000 |
|
|
To B |
|
|
23,600 |
|
|
(B accepted the bill and paid GST by cheque) |
|
|
|
|
|
|
|
|
|
|
|
C |
Dr. |
|
20,000 |
|
|
To Bills Receivable A/c |
|
|
20,000 |
|
|
(B’s acceptance endorsed in favour of C) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 10:
On 10th July, 2017, A sold goods to B for ₹ 35,000 plus IGST @ 18%. He drew on him a 3 months bill for ₹ 35,000 and received cheque for the balance amount. B accepted the bill. After 10 days, A endorsed the bill to his creditor C. On due date, acceptance is duly met. Show entries in the books of A, B, and C.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
July 10 |
B |
Dr. |
|
41,300 |
|
|
To Sales A/c |
|
|
35,000 |
|
|
(Goods sold to B plus IGST @ 12%) |
|
|
|
|
|
|
|
|
|
|
July 10 |
Bills Receivable A/c |
Dr. |
|
35,000 |
|
|
To B |
|
|
41,300 |
|
|
(B’s acceptance was received and IGST by cheque) |
|
|
|
|
|
|
|
|
|
|
July 20 |
C |
Dr. |
|
35,000 |
|
|
To Bills Receivable A/c |
|
|
35,000 |
|
|
(B’s acceptance endorsed in favour of C) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
July 10 |
Purchases A/c |
Dr. |
|
35,000 |
|
|
To A |
|
|
41,300 |
|
|
(Goods bought from A plus IGST @ 12%) |
|
|
|
|
|
|
|
|
|
|
July 10 |
A |
Dr. |
|
41,300 |
|
|
To Bills Payable A/c |
|
|
35,000 |
|
|
(Bill drawn by A accepted and paid IGST by cheque) |
|
|
|
|
|
|
|
|
|
|
Oct 13 |
Bills Payable A/c |
Dr. |
|
35,000 |
|
|
To Cash A/c |
|
|
35,000 |
|
|
(Payment of bill was made on its due date) |
|
|
|
|
|
|
|
|
|
Books of C |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
July 20 |
Bills Receivable A/c |
Dr. |
|
35,000 |
|
|
To A |
|
|
35,000 |
|
|
(Bill Receivable received from A) |
|
|
|
|
|
|
|
|
|
|
Oct 13 |
Cash A/c |
Dr. |
|
35,000 |
|
|
To Bills Receivable A/c |
|
|
35,000 |
|
|
(Amount of bill received on maturity) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 11:
Mohan Singh draws a bill on Jagat for ₹ 1,000 payable 2 months after date. Immediately after its acceptance, Mohan Singh sends the bill to his bank for collection. On due date, bank gets the payment. Make the entries in the books of all the parties.
Answer:
Books of Mohan Singh |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
1,000 |
|
|
To Jagat |
|
|
1,000 |
|
|
(Jagat acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
Bills Sent for Collection A/c |
Dr. |
|
1,000 |
|
|
To Bills Receivable A/c |
|
|
1,000 |
|
|
(Bill Receivable sent to bank for collection) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
1,000 |
|
|
To Bills Sent for Collection A/c |
|
|
1,000 |
|
|
(Payment of bill received by bank) |
|
|
|
|
|
|
|
|
|
Books of Jagat |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Mohan Singh |
Dr. |
|
1,000 |
|
|
To Bills Payable A/c |
|
|
1,000 |
|
|
(Bills drawn by Mohan Singh was accepted) |
|
|
|
|
|
|
|
|
|
|
|
Bills Payable A/c |
Dr. |
|
1,000 |
|
|
To Bank A/c |
|
|
1,000 |
|
|
(Payment was made to meet the bill) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 12:
X draws on Y a bill for ₹ 4,000 which was duly accepted by Y. Y meets the bill on its due date. Show what entries would be passed in the books of X under each of the following circumstances:
(a) If X retains the bill till due date.
(b) If X discounts the same with his banker paying ₹ 100 for discount.
(c) If X endorses the same to his creditor Z in full settlement of his debt of ₹ 4,080.
(d) If X sends the bill to his banker for collection the next day.
Answer:
Case (a)
Books of X |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
4,000 |
|
|
To Y |
|
|
4,000 |
|
|
(Y’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
Cash A/c |
Dr. |
|
4,000 |
|
|
To Bills Receivable A/c |
|
|
4,000 |
|
|
(Amount of bill received on its maturity) |
|
|
|
|
|
|
|
|
|
Case (b)
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
4,000 |
|
|
To Y |
|
|
4,000 |
|
|
(Y’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
3,900 |
|
|
Discount Charges A/c |
Dr. |
|
100 |
|
|
To Bills Receivable A/c |
|
|
4,000 |
|
|
(Y’s acceptance discount with bank) |
|
|
|
|
|
|
|
|
|
Case (c)
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
4,000 |
|
|
To Y |
|
|
4,000 |
|
|
(Y’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
Z |
Dr. |
|
4,080 |
|
|
To Discount Received A/c |
|
|
80 |
|
|
To Bills Receivable A/c |
|
|
4,000 |
|
|
(Y’s acceptance endorsed in favour of Z and discount allowed by Z is Rs 80) |
|
|
|
|
|
|
|
|
|
Case (d)
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
|
Bills Receivable A/c |
Dr. |
|
4,000 |
|
|
To Y |
|
|
4,000 |
|
|
(Y’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
|
Bills Sent for Collection A/c |
Dr. |
|
4,000 |
|
|
To Bills Receivable A/c |
|
|
4,000 |
|
|
(Y’s acceptance sent to bank for collection) |
|
|
|
|
|
|
|
|
|
|
|
Bank A/c |
Dr. |
|
4,000 |
|
|
To Bills Sent for Collection A/c |
|
|
4,000 |
|
|
(Y’s acceptance net on maturity) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 13:
Ram draws a bill for ₹ 2,000 on Shyam on 15th September, 2017 for 3 months. On maturity, Shyam failed to honour th bill.
Pass the necessary Journal entries in the books of Ram and Shyam.
Answer:
Books of Ram |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Sep.15 |
Bills Receivable A/c |
Dr. |
|
2,000 |
|
|
To Shyam |
|
|
2,000 |
|
|
(Shyam’s acceptance received) |
|
|
|
|
|
|
|
|
|
|
Dec.18 |
Shyam A/c |
Dr. |
|
2,000 |
|
|
To Bills Receivable A/c |
|
|
2,000 |
|
|
(Shyam’s acceptance dishonoured) |
|
|
|
|
|
|
|
|
|
Books of Shyam |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Sep.15 |
Ram |
Dr. |
|
2,000 |
|
|
To Bills Payable A/c |
|
|
2,000 |
|
|
(Bill drawn by Ram was accepted) |
|
|
|
|
|
|
|
|
|
|
Dec.18 |
Bills Payable A/c |
Dr. |
|
2,000 |
|
|
To Ram |
|
|
2,000 |
|
|
(Bills Payable dishonoured) |
|
|
|
|
|
|
|
|
|
Page No 16.35:
Question 14:
On 20th March, 2018, Naresh sold goods to Kailash to the vlaue of ₹ 1,250, taking a bill at 3 months for the amount. On maturity, the bill was dishonoured. Naresh paid ₹ 10 as noting charges. On 1st July, Kailash cleared his account by paying ₹ 1,260.
Make the entries in the books of both the parties to record the above transactions.
Answer:
Books of Naresh |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Mar.20 |
Kailash |
Dr. |
|
1,250 |
|
|
To Sales A/c |
|
|
1,250 |
|
|
(Goods sold to Kailash) |
|
|
|
|
|
|
|
|
|
|
Mar.20 |
Bills Receivable A/c |
Dr. |
|
1,250 |
|
|
To Kailash |
|
|
1,250 |
|
|
(Kailash’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
Jun.23 |
Kailash |
Dr. |
|
1,260 |
|
|
To Bills Receivable A/c |
|
|
1,250 |
|
|
To Cash A/c |
|
|
10 |
|
(Bill received from Kailash dishonoured and Rs 10 paid for Noting the bill) | |||||
July 01 |
Cash A/c |
Dr. |
|
1,260 |
|
|
To Kailash |
|
|
1,260 |
|
(Received cash from Kailash) | |||||
|
|
|
|
|
Books of Kailash |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Mar.20 |
Purchases A/c |
Dr. |
|
1,250 |
|
|
To Naresh |
|
|
1,250 |
|
|
(Goods were bought from Naresh ) |
|
|
|
|
|
|
|
|
|
|
Mar.20 |
Naresh |
Dr. |
|
1,250 |
|
|
To Bills Payable A/c |
|
|
1,250 |
|
|
(Bill drawn by Naresh was accepted) |
|
|
|
|
|
|
|
|
|
|
Jun.23 |
Bills Payable A/c |
Dr. |
|
1,250 |
|
|
Noting Charges A/c |
Dr. |
|
10 |
|
|
To Naresh |
|
|
1,260 |
|
(Bill Payable was dishonoured) | |||||
July 01 |
Naresh |
Dr. |
|
1,260 |
|
|
To Cash A/c |
|
|
1,260 |
|
|
(Paid cash to Naresh) |
|
|
|
|
|
|
|
|
|
Page No 16.36:
Question 15:
On 1st July, 2017, A drew a bill for ₹ 5,000 on B payable after 3 months. A discounted it with the Bank for ₹ 4,850. On maturity B failed to pay the amount of his acceptance and the bank had to pay ₹ 50 as noting charges.
Draw up the necessary Journal entries in the books of A and B.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jul.01 |
Bills Receivable A/c |
Dr. |
|
5,000 |
|
|
To B |
|
|
5,000 |
|
|
(B’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
Jul.01 |
Bank A/c |
Dr. |
|
4,850 |
|
|
Discount Charges A/c |
Dr. |
|
150 |
|
|
To Bills Receivable A/c |
|
|
5,000 |
|
|
(B’s acceptance discounted with bank) |
|
|
|
|
|
|
|
|
|
|
Oct.04 |
B |
Dr. |
|
5,050 |
|
|
To Bank A/c |
|
|
5,050 |
|
|
(B’s acceptance became dishonoured, bank paid Noting Charges Rs 50) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jul.01 |
A |
Dr. |
|
5,000 |
|
|
To Bills Payable A/c |
|
|
5,000 |
|
|
(Bill drawn by A was accepted) |
|
|
|
|
|
|
|
|
|
|
Oct.04 |
Bills Payable A/c |
Dr. |
|
5,000 |
|
|
Noting Charges A/c |
Dr. |
|
50 |
|
|
To A |
|
|
5,050 |
|
|
(Bills Payable dishonoured) |
|
|
|
|
|
|
|
|
|
Page No 16.36:
Question 16:
On 15th June, 2017, Mohan sold goods to Sohan valued at ₹ 2,000. He drew a bill at 3 months for the amount and discounted the same with his bankers at ₹ 1,960. On the due date the bill was dishonoured and Mohan paid to the bank the amount due plus the noting charges of ₹ 10.
Draft the Journal entries in the books of all parties.
Answer:
Books of Mohan |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
June 15 |
Sohan |
Dr. |
|
2,000 |
|
|
To Sales A/c |
|
|
2,000 |
|
|
(Goods sold to Sohan) |
|
|
|
|
|
|
|
|
|
|
June 15 |
Bills Receivable A/c |
Dr. |
|
2,000 |
|
|
To Sohan |
|
|
2,000 |
|
|
(Sohan’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
June 15 |
Bank A/c |
Dr. |
|
1,960 |
|
|
Discount Charges A/c |
Dr. |
|
40 |
|
|
To Bills Receivable A/c |
|
|
2,000 |
|
|
(Sohan’s acceptance discounted with bank) |
|
|
|
|
|
|
|
|
|
|
Sep.18 |
Sohan |
Dr. |
|
2,010 |
|
|
To Bank A/c |
|
|
2,010 |
|
|
(Sohan’s acceptance became dishonoured and Bank paid Rs 10 Noting Charges) |
|
|
|
|
|
|
|
|
|
|
Sep.18 |
Bank A/c |
Dr. |
|
2,010 |
|
|
To Cash A/c |
|
|
2,010 |
|
|
(Liabilities on account bill dishonoured was discharged) |
|
|
|
|
|
|
|
|
|
Books of Sohan |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
June 15 |
Purchases A/c |
Dr. |
|
2,000 |
|
|
To Mohan |
|
|
2,000 |
|
|
(Goods were bought from Sohan) |
|
|
|
|
|
|
|
|
|
|
June 15 |
Mohan |
Dr. |
|
2,000 |
|
|
To Bills Payable A/c |
|
|
2,000 |
|
|
(Bills drawn by Mohan was accepted) |
|
|
|
|
|
|
|
|
|
|
Sep.18 |
Bills Payable A/c |
Dr. |
|
2,000 |
|
|
Noting Charges A/c |
Dr. |
|
10 |
|
|
To Mohan |
|
|
2,010 |
|
|
(Bills Payable became dishonoured) |
|
|
|
Page No 16.36:
Question 17:
On 1st March, 2018, R accepted a Bill of Exchange of ₹ 20,000 from S payable 3 months after date in full settlement of his dues. On the same day S endorsed the Bill of Exchanges to T together with a cheque for ₹ 5,000 in settlement of his debt to the latter. On 2nd March, 2018, T discounted the Bill of Exchange @ 6% p.a. with his bankers. On maturity the Bill of Exchange was dishonoured.
Journalise the transactions in the books of R and T.
Answer:
Books of R |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Mar.01 |
S |
Dr. |
|
20,000 |
|
|
To Bills Payable A/c |
|
|
20,000 |
|
|
(Bill drawn by S was accepted) |
|
|
|
|
|
|
|
|
|
|
June 04 |
Bills Payable A/c |
Dr. |
|
20,000 |
|
|
To S |
|
|
20,000 |
|
|
(Bills Payable dishonoured) |
|
|
|
|
|
|
|
|
|
Books of T |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Mar.01 |
Bank A/c |
Dr. |
|
5,000 |
|
|
Bills Receivable A/c |
Dr. |
|
20,000 |
|
|
To S |
|
|
25,000 |
|
|
(Bill Receivable and cheque received from S) |
|
|
|
|
|
|
|
|
|
|
Mar.02 |
Bank A/c |
Dr. |
|
19,700 |
|
|
Discount Charges A/c |
Dr. |
|
300 |
|
|
To Bills Receivable A/c |
|
|
20,000 |
|
|
(R’s acceptance discounted with bank at 6% p.a. for 3 months) |
|
|
|
|
|
|
|
|
|
|
June 04 |
S |
Dr. |
|
20,000 |
|
|
To Bank A/c |
|
|
20,000 |
|
|
(Bill received from S was dishonoured) |
|
|
|
|
|
|
|
|
|
Page No 16.36:
Question 18:
On 1st January, 2018, A drew a bill on B for ₹ 10,000 payable after 3 months. B accepted the bill and returned it to A. After 10 days, A endorsed the bill to his creditor C. On the due date, the bill was dishonoured and C paid ₹ 50 as noting charges.
Record the transactions in the books of A, B and C.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jan. 01 |
Bills Receivable A/c |
Dr. |
|
10,000 |
|
|
To B |
|
|
10,000 |
|
|
(B’s acceptance was received) |
|
|
|
|
|
|
|
|
|
|
Jan. 11 |
C |
Dr. |
|
10,000 |
|
|
To Bills Receivable A/c |
|
|
10,000 |
|
|
(B’s acceptance endorsed in favour of C) |
|
|
|
|
|
|
|
|
|
|
April 04 |
B |
Dr. |
|
10,050 |
|
|
To C |
|
|
10,050 |
|
|
(Bill endorsed in favour of C was dishonoured and C paid Rs 50 Noting Charges) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jan. 01 |
A |
Dr. |
|
10,000 |
|
|
To Bills Payable A/c |
|
|
10,000 |
|
|
(Bill drawn by A was accepted ) |
|
|
|
|
|
|
|
|
|
|
April 04 |
Bills Payable A/c |
Dr. |
|
10,000 |
|
|
Noting Charges A/c |
Dr. |
|
50 |
|
|
To A |
|
|
10,050 |
|
|
(Bill Payable dishonoured) |
|
|
|
|
|
|
|
|
|
Books of C |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jan.11 |
Bills Receivable A/c |
Dr. |
|
10,000 |
|
|
To A |
|
|
10,000 |
|
|
(Bill Receivable received from A) |
|
|
|
|
|
|
|
|
|
|
April 04 |
A |
Dr. |
|
10,050 |
|
|
To Bills Receivable A/c |
|
|
10,000 |
|
|
To Cash A/c |
|
|
50 |
|
|
(Bill Receivable received from A became dishonoured and Noting Charge paid Rs 50) |
|
|
|
|
|
|
|
|
|
Page No 16.36:
Question 19:
B owes A ₹ 4,000. On 1st January, 2018, B accepts a 3 months bill for ₹ 3,900 being in full settlement of the claim. At its due date the bill is dishounoured. Nothing charges ₹ 50 are paid by A. Give the Journal entries in the books of A and B.
Answer:
Books of A |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Jan.01 |
Bills Receivable A/c |
Dr. |
|
3,900 |
|
|
Discount Allowed A/c |
Dr. |
|
100 |
|
|
To B |
|
|
4,000 |
|
|
(B’s acceptance received and discount allowed) |
|
|
|
|
|
|
|
|
|
|
April 04 |
B |
Dr. |
|
4,050 |
|
|
To Bills Receivable A/c |
|
|
3,900 |
|
|
To Discount Allowed A/c |
|
|
100 |
|
|
To Cash A/c |
|
|
50 |
|
|
(B’s acceptance became dishonoured and Noting charges paid Rs 50) |
|
|
|
|
|
|
|
|
|
Books of B |
|||||
Journal |
|||||
Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2018 |
|
|
|
|
|
Jan.01 |
A |
Dr. |
|
4,000 |
|
|
To Bills Payable A/c |
|
|
3,900 |
|
|
To Discount Received A/c |
|
|
100 |
|
|
(Bill drawn by A was accepted and discount was received from him) |
|
|
|
|
|
|
|
|
|
|
April 04 |
Bills payable A/c |
Dr. |
|
3,900 |
|
|
Discount Received A/c |
Dr. |
|
100 |
|
|
Noting Charges A/c |
Dr. |
|
50 |
|
|
To A |
|
|
4,050 |
|
|
(Bills Payable dishonoured ) |
|
|
|
|
|
|
|
|
|
Page No 16.36:
Question 20:
Y owes X ₹ 4,000. On 1st January, 2017, Y accepts a 3 months bill for ₹ 3,900 in satisfaction of his full claim. On the same date, it was endorsed by X to Z in satisfaction of his claim of ₹ 3,980. The bill is dishonoured on the due date. Give the Journal entries in the books of X.
Answer:
Books of X |
|||||
Journal |
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Date |
Particulars |
L.F. |
Debit Amount Rs |
Credit Amount Rs |
|
2017 |
|
|
|
|
|
Jan.01 |
Bills Receivable A/c |
Dr. |
|
3,900 |
|
|
Discount Allowed A/c |
Dr. |
|
100 |
|