Date

Particulars

L.F.

Debit

Credit

A.

Aloknath's
A/c ……………Dr.


16500



To Badrinath's A/c



16500


[Being the endorsed bill is dishonoured
along with noting charges.]




B.





(i)

Somnath's A/c ……… Dr.


14400



To Bills Receivable A/c



14400


[Being the bill is dishonoured]









(ii)

Cash a/c ………… Dr.


4400



To Somnath's A/c



4400


[Being the Part Payment is Made]









(iii)

Somnath's A/c ………… Dr.


200



To Interest A/c



200


[Being the Interest is charged on balance
amount]









(iv)

Bills Receivable A/c ………… Dr.


10200



To Somnath's A/c



10200


[Being the new bill is drawn along with
interest]









(C)

Cash A/c ……………… Dr.


10,250



Rebate's A/c ………… Dr.


250



To Bills Receivable's A/c



10,500


[Being the Bill is retired]









(D)





(i)

Ramnath's A/c ……………………… Dr.


12500



To Bills Receivable A/c



12500


[Being the Bill is dishonoured]









(ii)

Cash/ Bank A/c …………Dr.


6250



Bad Debts A/c …………… Dr.


6250



To Ramnath's
A/c



12500


[Being the Drawee Ramnath become insolvent
and only 50% of the amount could be recovered from his private estate]




Journalise the following transactions int he books of Kedarnath:
1.
Badrinath informs Kedarnath that Aloknath's Acceptance of Rs. 16,000 endorsed
to Badrinath has been dishonoured and noting charges amounted to Rs. 500.
2.
Somnath renews his acceptance of Rs. 14,400 to Kedarnath by paying cash Rs.
4,400 and accepting a new bill for 2 months for the balance plus interest @ 12%
p.a.
3.
Vishwanath retired his acceptance for Rs. 10,500 to Kedarnath by paying in cash
Rs. 10,250
4.
Recovered only 50% of the amount due from his private estate of Ramnath, who
declared as insolvent, against his bill of Rs. 12,500. [10 MARKS]