1. On 1st March, 2013. Ramchandra sold goods to Raman worth Rs.
8,000/- and Raman accepted the Bill for Rs. 8,000/- at 3 months drawn by
Ramchandra. Ramchandra discounted the bill with his bank @ 6% p.a. On due date
the bill was dishonoured and Raman requested Ramchandra to accept Rs. 4,000/-
immediately and draw upon him a new bill for the remaining amount at 3 months
together with an interest @ 10% p.a. Ramchandra agreed. The second Bill was
duly honoured. Give Journal entries in the books of Ramchandra.
Solution:
Journal entries
in the Books of Ramchandra.
|
Date
|
Particulars
|
LF
|
Debit
(Rs)
|
Credit
(Rs)
|
|
1.3.13
|
Raman's A/c ... Dr.
|
|
8000
|
|
|
|
To Sales A/c
|
|
|
8000
|
|
|
[Being the goods are sold]
|
|
|
|
|
1.3.13
|
Bills Receivable A/c …Dr.
|
|
8000
|
|
|
|
To Raman's A/c
|
|
|
8000
|
|
|
[Being the Bill is drawn]
|
|
|
|
|
1.3.13
|
Bank A/c …Dr.
|
|
7880
|
|
|
|
Discount A/c … Dr.
|
|
120
|
|
|
|
To Bills Receivable A/c
|
|
|
8000
|
|
|
[Being the Bill is discounted with the bank @ 6% p.a. ]
|
|
|
|
|
4.6.13
|
Raman's A/c … Dr.
|
|
8000
|
|
|
|
To Bank's A/c
|
|
|
8000
|
|
|
[Being the discounted bill is dishonoured]
|
|
|
|
|
4.6.13
|
Raman's A/c … Dr.
|
|
100
|
|
|
|
To Interest A/c
|
|
|
100
|
|
|
[Being Interest is charged on balance amount]
|
|
|
|
|
4.6.13
|
Cash / Bank A/c … Dr.
|
|
4000
|
|
|
|
To Raman's A/c
|
|
|
4000
|
|
|
[Being the part payment is made]
|
|
|
|
|
4.6.13
|
Bills Receivable A/c …Dr.
|
|
4100
|
|
|
|
To Raman's A/c
|
|
|
4100
|
|
|
[Being the New bill is drawn along with balance and interest on balance
amount]
|
|
|
|
|
7.9.13
|
Cash/Bank A/c …… Dr.
|
|
4100
|
|
|
|
To Bills Receivable A/c
|
|
|
4100
|
|
|
[Being the second bill is duly honoured]
|
|
|
|