Question

On 20th March, 2018, Naresh sold goods to Kailash to the vlaue of ₹ 1,250, taking a bill at 3 months for the amount. On maturity, the bill was dishonoured. Naresh paid ₹ 10 as noting charges. On 1st July, Kailash cleared his account by paying ₹ 1,260.
Make the entries in the books of both the parties to record the above transactions.

Answer 1

Answer:

noting charges. On 1st July, Kailash cleared his account by paying ₹ 1,260.

Answer 2

Answer:

Explanation:

                     Book of kailash journal                                                                    

Purchase A/c                              1250

  To Naresh A/c                                          1250

Naresh A/c                                      1250

   To Bills payable A/c                                   1250

Bills payable A/c                            1250

Noting charges                                   10

  To Naresh A/c                                             1260

Naresh A/c                                         1260

 To cash A/c                                                           1260