Journalise the following transactions in the books of Jaydeep. [10]

(A) Arvind renews his acceptance of Jaydeep of Rs. 7,000 with interest Rs. 500 for two months.
(B) Bank informed Jaydeep that Mahadev’s acceptance of Rs. 4,000 which was discounted and
dishonoured. Bank charged noting charges Rs. 80.
(C) Hanumant informed Jaydeep that Kazi’s acceptance for Rs. 7,000 endorsed to Hanumant has been dishonoured, noting charges Rs. 85.
(D) Datta honoured his acceptance of Rs. 4,900, which was sent to bank for collection. Bank debited Rs. 100 for bank charges.
(E) Radhika retired her acceptance to Jaydeep of Rs. 9,000 by paying Rs. 8,700.


Answer: Journal Entries in the books of Jaydeep.

Date
Particulars
L.F.
Amount
Rs.
Amount
Rs.
1.
Arvind’s A/c ...... Dr.

7000


To Bills Receivable A/c


7000

[Being the bill is dishonoured]








2.
Arvind’s A/c ...... Dr.

500


To Interest A/c


500

[Being the interest is charged]








3.
Bills Receivable A/c .... Dr.

7500


To Arvind’s A/c


7500

[Being the new bill is drawn along with interest]








4.
Mahadev’s A/c .... Dr.

4080


To Bank A/c


4080

[Being the bill is dishonoured along with noting charges]








5.
Kazi's A/c .....Dr.

7085


To Hanumant's A/c


7085

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








6.
Bank A/c ..... Dr.

4800


Bank Charges A/c ...... Dr.

100


To Bank for collection A/c


4900

[Being the bill sent to bank for collection has honoured]








7.
Bank A/c ........ Dr.

8700


Rebate A/c ...... Dr.

300


To Bills Receivable A/c


9000

[Being the bill is retired]



9 comments:

  1. Can someone explain the 6th entry how it came

    ReplyDelete
    Replies
    1. This comment has been removed by the author.

      Delete
  2. 6th entry is when the bank gets the money that the drawee pays for the bill .However the bank charges for doing that job. So cash comes ,bank charges is expense for drawer hence debited and bill is going out hence it's credited. Hope it's useful

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  3. https://www.omtex.co.in/2019/07/question-16-practical-problems.html?m=1
    Sir 6th entry or upar wali site me alag q entry h

    ReplyDelete
  4. Mujhe 7th vali entry samjhayenge

    ReplyDelete
    Replies
    1. Radhika paid her bill before due date. And her bill amount was of 9000 but she paid 8700 because she paid before due date she got rebate of 300

      Delete
    2. Toh cash a/c...... 8700
      Rebate a/c..... 300
      To Br a/c 9000
      Hona chaiye na

      Delete
  5. Mujhe 1th Vali entry samjhayenge

    ReplyDelete
    Replies
    1. When we have to renew the bill then first we cancel/dishonour it .that's why Arvind's A/c dr.
      To bills receivable A/c cr.

      Delete