Prepare journal entries, ledger accounts and trial balances in books of Arun for the year ended
31st March 2020.
2020
Jan. 1 Commenced business with cash Rs.1,00,000.
Jan 3 purchased goods from Ravi Rs.10,000
Jan.4 sold goods Rs.25,000
Jan 5 salary paid by cheque Rs.15,000
Jan 8 commission received Rs.3000
Jan 10 Machinery bought Rs.2,00,000
Jan 15 Withdrawn cash for personal use Rs.30,000
Jan 20 cash received from Bank Rs.8,000
Jan 25 sold goods to Kavin Rs.3,00,000
Jan 28 withdrawn cash from bank for office use Rs.12,000
Answers
Answer:
Explanation:
1) cash A/C Dr.1,00,000
To capital A/C 1,00,000
Jan 3 purchase A/C Dr. 10,000
To Ravi A/C 10,000
jam 4 cash A/C DR. 25,000
To sales A/c 25,000
Jam 5 salary A/c dr.15,000
To banka/c 15,000
jan 8 cash a/c dr.3,000
to commmision a/c 3,000
A journal entry is a record of a business transaction in your business books. In double-entry bookkeeping, you make at least two journal entries for every transaction. Because a transaction can create a lot of changes in a business, a bookkeeper tracks them all with journal entries.
ledger is a book or collection of accounts in which account transactions are recorded. Each account has an opening or carry-forward balance, and would record each transaction as either a debit or credit in separate columns, and the ending or closing balance.
