Question

A company whose accounting year is the calendar year purchased on 1st
April, 2001 machinery costing Rs. 30,000/. It further purchased machinery on
Ist October, 2001 costing Rs. 20,000- and on 1st July, 2002 costing Rs.
10,000/-. On 1st January, 2003 one third of the machines which were installed
on 1st April, 2001 became obsolete and was sold for Rs. 3000/. Show how the
machinery account would appear in the books of account. The depreciation is
charged at 10% p.a. on written down value method.

Journalize the following transactions -
(a) Started business with cash Rs.5000/ and furniture of Rs.6000/-
(b) Sold goods to Ramesh Rs.500/- and gave cash discount @10%
(c) Salary paid to Hari Rs. 800-
(d) Commision received from M/s Mehta & Bros. Rs. 200/-
(e) Cash Rs.1000 withdrew from the business for personal purpose​

Answer 1

Answer:

journal entries

1. cash A/c Dr = 5000

furniture A/c Dr = 6000

to capital= 11000

2. ramesha A/c Dr = 50

to sales= 50

3. salary A/c Dr = 800

to hari = 800

4. M/S Mehta and bros A/c Dr = 200

to commission received= 200

5. drawing A/c Dr = 1000

to cash= 1000