Following are the transaction of a company. I. Started business with cash Rs. 800,000 in exchange of 8,000 shares of Rs. 100 each. II. Deposited into…
BBS Financial Accounting and Analysis · 2082 · Solved Question with Answer
Following are the transaction of a company.
I. Started business with cash Rs. 800,000 in exchange of 8,000 shares of Rs. 100 each.
II. Deposited into bank Rs.300,000.
III. Took a bank loan of Rs. 100,000 @ 10% interest.
IV. Sold merchandise goods for Rs.300,000 on account.
V. Purchased merchandise goods for Rs.180,000 on account
VI. Paid Rs.10,000 for insurance premium.
VII. Received Rs.270,000 after deduction of 10% discount from the customers
VIII. Paid Rs. 170,000 in full settlement of Rs.180,000 by cheque.
IX. Paid electricity bill Rs. 5,000
X. Pre-paid office rent Rs.26,000 by issuing cheque.
Additional Information
a) Closing stock Rs, 20,000.
b) Prepaid rent expired Rs. 24,000.
c) Outstanding interest Rs.10,000
Required:
a. Journal entries for above transactions
b. Accounts receivable and payable account
c. Triple column cash book
d. Adjusted Trial balance