Question

journalise the following transaction in the books pf bharati
A. Bank inform that amit acceptance for ₹15750 sent to bank for collection was hounered and bank charges debited for ₹150
B. we will renived his acceptance for ₹22,200 by paying ₹2,200 in cash along with interest an balance amount at 10℅ and accepted a fresh bill for the balance for three month
C. dhanashree who had accepted bharti's bill for ₹7500 was declered in servent and only 40℅ of the ammount due full be recovered from his is take.
D. discharge are acceptance to savita for ₹9450 by endorsing pravin's acceptance to us for ₹ 9000 ​

Answer 1

Solution:

(a)

Bank A/c Dr. 15,600

Bank charges A/c Dr. 150

To Bill sent for collection A/c 15,750

(Being the amount of Bill collected by bank and credited to our bank account and Bank charges debited.)

(b) (i)

Nitin's A/c Dr. 22,200

To Bills Receivable A/c 22,200

(Being cancellation of the bill.)

(ii)

Nitin's A/c Dr. 500

To Interest A/c 500

(Being interest amount due.)

(iii)

Cash A/c Dr. 2,700

To Nitin's A/c Dr. 2,700

(Being part payment along with interest received.)

(iv)

Bills Receivable A/c Dr. 20,000

To Nitin's A/c 20,000

(Being the acceptance recieved for balance amount due.)

(c) (i)

Dhanashri's A/c Dr. 17,500

To Bills Receivable A/c 17,500

(Being bills dishonored for non payment.)

(ii)

Cash A/c Dr. 7,000

Bad debts A/c Dr. 10,500

To Dhanashri's A/c 17,500

(Being 40% due amount received from Dhanashri and declared insolvent.)

(d)

Bills Payable A/c Dr. 9450

To Bills Receivable A/c 9000

To discount A/c 450

(Being our acceptance to Savita cleared by endorsing Pravin's acceptance.)