Question

6. Journalise the following transactions in the books of Sudhir.
2016
Feb. 1
Started business with * 25,000 borrowed from Bank of India @ 12% p.a.
Feb. 4
Purchased goods for 35,000 from Albert
Feb. 6
Received invoice at 10% trade discount from Albert.
Feb. 8
Sold goods to Sachin for 40,000
Feb. 10 Sachin became insolvent and paid 50 paise in the rupee.
Feb. 12 Taken goods for personal use * 1,000
Feb. 15 Received from Sachin against debt previously written off 1,0000
Feb. 18 Goods destroyed by fire
3,000​

Answer 1

Answer:

feb 1 Bank a/c dr. 25000

To 12% Bank loan a/c 25000

Explanation:

business started with bank loan

feb 4 no entry will be passed since invoice is received on feb 6 and posting in journal is made from source document

feb 6 purchase a/c dr. 31500

To Albert 31500

feb 8 sachin dr. 40000

To sales 40000

feb 10 cash a/c dr. 20000

bad debts a/c dr. 20000

To Sachin 40000

feb12 drawings a/c dr. 1000

To purchase a/c 1000

feb 15 cash a/c dr. 10000

To bad debts recovered a/c 10000

feb 18 loss by fire a/c dr. 3000

To purchase a/c 3000

( i hope this helps)