Question

Accountancy bill of exchange on 1st january 2019 anli sold goods to sunil for rs 5000 and drew a three month bill on him for the amount. on 4 january 2019 anil endorsed the bill in favour of his creditor sujoy . before the due date sunil became insolvent. there is no possibility of recovery of any amount from sunil's estate.

Answer 1

Thanks for asking :)

Answer :

_________________________________

➡️ Entry No 1 (1st January 2019)

=) Sunil Ac Dr....5000/-

To, Sales Ac Cr...5000/-

( Being Goods sold on credit )

➡️ Entry No 2 ( 1st January 2019)

=) Bills Receivable Ac Dr...5000/-

To, Sunil Ac Cr.....5000/-

( Being Bill Acceptance received from sunil )

➡️ Entry No 3 ( 4th January 2019)

=) Sujoy Ac Dr...5000/-

To, Bills Receivable Ac Cr..5000/-

( Being Bill endorsed in favour of sujoy )

➡️ Entry No 4 ( 28th February 2019)

=) Sunil Ac Dr.....4000/-

To, Sujoy Ac Cr...4000/-

( Being endorsed bill dishonored )

➡️ Entry No 5 ( 28th feb 2019)

=) Sunil Ac Cr....5000/-

To, Bills Receivable Ac Cr...5000/-

( Being bill dishonored )

__________________________________

© Bhalerao sachin :)