The following are the transactions of a company: a. Started business with cash Rs. 400,000 and bank balance Rs. 50,000. b. Deposited into bank…
BBS Financial Accounting and Analysis · 2080 · Solved Question with Answer
The following are the transactions of a company:
a. Started business with cash Rs. 400,000 and bank balance Rs. 50,000.
b. Deposited into bank Rs.100,000
c. Machinery costing Rs.100,000 was purchased payment made by a cheque.
d. Purchased merchandise goods for Rs.60,000 on account.
e. Sold merchandise goods on account for Rs.200,000.
f. Received a cheque from debtor, Rs.190,000 after deduction of 5% discount. The cheque was banked immediately.
g. Paid Rs.54,000 to creditor by issuing a cheque after deduction 10% discount. h. Rs.12,000 was paid for insurance premium. i. Paid wages and salary Rs.40,000 by issuing cheques. j.
Paid Rs.30,000 for rent.
Required:
a. Journal entries
b. T accounts (ledger) for sales, purchase, account receivable and account payable
c. Triple column cash book
d. Trial Balance