Question

On 1.1.2015, Hemant purchased goods from Bimal for 30,000 on credit. On 4.1.2015, Hemant sold the goods to Raman for * 40,000 also on credit. For this purpose, he drew two bills on Raman for 20,000 each on 5.1.2015 payable after one month and two months respectively. On 8.1.2015, Hemant endorsed the first bill in favour of Bimal along with a cheque of 10,000 to settle the amount due to him. However , the second bill was held by him till maturity. Cn due dates, both the bills were dishonoured, Show the entries in the books of Hemant and Raman.​

Answer 1

Answer:

good purchases of Rs.30000 has to be recorded in purchase account which will be a debit side.if it is passed through the sales book,this will result in an increase of gross profit by Rs.60000.