Question

Q-4 Pass Journal Entries for the following:
(1) Received 20,000 from Subhash, which were
written off as bad-debts in the
previous year.
(2) Salaries due to clerks 50,000.
(3) Out of the rent paid this year, 510,000 is related
to next year.
(4) Provide 10% depreciation on furniture costing
250,000
(5) Provide 12% interest on capital amounting to
10,00,000
(6) Charge interest on drawings 8,000.
​

Answer 1

Answer:

1.

Cash A/c Dr. 20000

To Bad Debts Recovered A/c 20000

2.

Salaries A/c Dr. 50000

To Outstanding Salaries A/c 50000

3.

Prepaid Rent A/c Dr. 510000

To Rent A/c 510000

4.

Depreciation A/c Dr. 25000

To Furniture A/c 25000

5.

Interest on capital A/c Dr. 120000

To Capital A/c 120000

6.

Drawings A/c Dr. 8000

To Interest on drawings A/c 8000