Journalise the following transactions in the books of Mr. Roychoudhury and post them into Ledger Accounts. Prepare a Trial Balance taking the balances from the said ledger accounts: 2017 Mar. 3 Started business with cash 75,000 5 Opened a bank account by depositing cash 50,000 12 Goods purchased from Mr. Ganguli 25,000 15 Received loan from Mr. Ghosh and deposited the same into bank 10,000 17 Goods sold to Mr. Guha 18,000 22 Purchased machinery and paid by cheque 20,000 25 Goods returned by Mr. Guha being defective 1,000 27 Paid salary for the month of March 2,000 29 Received a cheque from Mr. Guha in full settlement and deposited into bank 16,500 31 Withdrew cash from business for personal use 3,000 a
Answers
JOURNAL ENTRIES
GIVEN: Assets and liabilities and all the transactions of Mr. Raja.
TO FIND: Journal Entries
SOLUTION:
As we know,
The business is commenced and all the assets and liabilities and transactions are recorded in the journal and ledger by the double entry book system.
The following transactions will be journalized as follows:
Cash A/c ----dr 75,000
To Capital A/c 75,000
Bank A/c ----dr 50,000
To Cash A/c 50,000
Purchases A/c ----dr 25,000
To Cash A/c 25,000
Bank A/c ----dr 10,000
To Loan A/c 10,000
Mr. Guha A/c ------dr 18,000
To Sales A/c 18,000
Sales Return A/c ----dr 1,000
To Mr. Guha A/c 1,000
Machinery A/c ----dr 20,000
To Bank A/c 20,000
Salary A/c -----dr 2,000
To Cash A/c 2,000
Drawings A/c -----dr 3,000
To Capital A/c 3,000
The journal entries were passed on the basis of nature of account and using the golden rules of accounting.
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