Question

Enter the following transactions in a Double Column Cash Book (having Bank and Discount
Column) Assuming that all receipts are banked and that all payments are made by cheque only
2020
₹
Sept. I Bank Balance
48,000
Sept 4 Cash purchases including CGST and SGST @ 6% each, paid by
cheque amounting to 15,000
Sept. 8 Cash sales including CGST and SGST @ 6% each 21,000
Sept. 12 Paid office rent to landlord * 6,000 plus CGST and SGST @ 6% each
Sept 15 Machinery purchased from M/s Tools Ltd. and amounting to 30,000
plus IGST @ 12% by cheque
Sept 18 Paid to Roshan Lal by cheque ? 2,000, discount received 100
Sept 22 Paid Salaries by cheque * 3,500
Sept 28 Cheque received from Raj Kumar amounting to 29,000 after
deducting a discount 300.
Sept. 30 Income Tax paid by cheque 1,700​

Answer 1

Answer:

Rs 20 lakh

The retirement gratuity payable is 16 times the basic pay subject to maximum of Rs 20 lakh. In case of death of an employee, the gratuity is paid based on the length of service, where the maximum benefit is restricted to Rs 20 lakh