Question

PROBLEM 7. Give Journal entries for the following transactions of A in his books:k renews his acceptance for 700 by paying * 530 (+ 30 being for interest) and by giving a bill for
200 for a further period of 2 months
A's acceptance to B for 4,000 was discharged by a cash payment of 2,000 and an acceptance of
a new bill for the balance plus.30 as interest
C's acceptance of 2,000 which had been discounted with the bank for 1.900 has been returned by
the bank unpaid. The bank has notified thal * 20 have been paid as noting charges
mi A's acceptance to D lor 5,000 is discharged by M's acceptance to A lor a similar amount
m G retires a bill for 1,000 drawn on him by A for* .5 discount​

Answer 1

Answer:

ANSWER:

Date of Bill

Tenure

Calculation

Due Date

(i) December 01, 2018

60 Days

30 (December) + 30 (January) + 3 days of grace

February 02, 2019

(ii) April 30, 2019

2 Months

2 Months from April 30, 2019 would be June 30, 2019 + 3 days of grace

July 03, 2019

(iii) January 28, 2019

1 Month

1 Month from January 28, 2019 would be February 28, 2019 + 3 days of grace

March 03, 2019

(iv) November 23, 2018

2 Months

2 Months from November 23, 2018 would be January 23, 2019 + 3 days of grace

January 26, 2019, but it is a national holiday so, due date would be one day before i.e., January 25, 2019

(v) May 29, 2018

4 Months

4 Months from May 29, 2019 would be September 29, 2019 + 3 days of