L or a customer
Rent due to landlord 500.
Record the following transactions in the Journal of Elegant Furniture Co.:
2018
₹
1
Started business with cash
Jan. 2 Deposited into bank
4,00,000
Jan 10 Purchased machinery (Issued cheque for the same)*
3,50.000
Jan. 15 Paid installation charges for machinery
1,00.000
2,000
Jan. 20 Purchased timber from Jwala Timber Co. at the list price of 20,000
He allowed 10% trade discount
Jan. 25 Timber costing 5,000 was used for furnishing the office
Jan. 31 Sold furniture to Ramesh on the list price of 10,000 and
allowed him 10% trade discount
Feb. 10 Sent to Jwala Timber Co. cheque in full settlement
17.500
Feb. 15 Received from Ramesh in full and final settlement
8.750
15.000
Feb. 20 Paid wages
5.000
Feb. 20 Paid rent*
CGST and SGST applicable @ 6% each.
Answers
Explanation:
jan 1. cash a/c...dr
To capital a/c
jan 2. Bank a/c...dr 400000
To cash a/c 400000
jan 10. machinery a/c...dr. 350000
To bank a/c 350000
jan 15. installation charges a/c .....dr 2000
To cash a/c 2000
jan 20. puchases a/c....dr 18000
To jwala timber co. 18000
jan 31. ramesh a/c .....dr 9000
To sales a/c 9000
Feb 10. jwala timber co. a/c .....dr 18000
To cheque in hand a/c 17500
To discount allowed a/c 500
Feb 15. cheque in hand a/c...dr 8750
discount allowed a/c....dr 150
To ramesh a/c 9000
Feb 20. wages a/c .....dr 5000
To cash a/c 5000