Question 3.
Journalise the following transactions in the books of M/s. R.K. & Co.
(i) Purchased goods at list price of ₹ 20,000 from Vishal at 20% trade discount against cheque payment.
(ii) Purchased goods at list price of ₹ 20,000 from Naman at 15% trade discount against cash.
(iii) Purchased goods at list price of ₹ 30,000 from Amrit at 20% trade discount.
(iv) Purchased goods at list price of ₹ 40,000 for ₹ 35,000 for cash.
(v) Goods returned of list price ₹ 10,000 purchased from Amrit.
(vi) Sold goods to Parul at list price of ₹ 40,000 at 10% trade discount against cheque payment.
(vii) Sold goods to Aman at list price of ₹ 30,000 at 10% trade discount against cash.
(viii) Sold goods to Pawan at list price of ₹ 20,000 at 10% trade discount.
(ix) Sold goods to Yamini at list price of ₹ 25,000 for ₹ 23,000.
(x) Sold goods costing ₹ 10,000 at cost plus 20% less 10% trade discount to Bhupesh.
(xi) Sold goods purchased at list price of ₹ 50,000 less 15% trade discount sold at a profit of 25% & 10% trade discount against cheque.
(xii) Aman returned goods of list price of ₹ 10,000 sold to him at 10% trade discount.
Answers
Journal Entries for the given transactions
Explanation:
In The Books of M/s RK & Co.
Journal Entries:
i) Purchases A/c Dr. Rs.16,000
To Bank A/c Rs.16,000
(Being goods purchased from Vishal with 20% Trade discount via cheque)
ii) Purchases A/c Dr. Rs.17,000
To Cash A/c Rs.17,000
(Being goods purchased from Naman with 15% Trade discount via cash)
iii) Purchases A/c Dr. Rs.24,000
To Amrit A/c Rs.24,000
(Being goods purchased from Amrit on credit with 20% Trade discount)
iv) Purchases A/c Dr. Rs.40,000
To Discount Received A/c Rs.5,000
To Cash A/c Rs.35,000
(Being goods purchased via cash and discount received)
v) Amrit A/c Dr. Rs.10,000
To Purchase Returns A/c Rs.10,000
(Being goods returned to Amrit)
vi) Bank A/c Dr. Rs.36,000
To Sales A/c Rs.36,000
(Being goods sold to Parul @ 10% trade discount via cheque)
vii) Cash A/c Dr. Rs.27,000
To Aman A/c Rs.27,000
(Being goods sold to Aman @10% trade discount)
viii) Pawan A/c Dr. Rs.18,000
To Sales A/c Rs.18,000
(Being goods sold to Pawan on credit)
ix) Yamini A/c Dr. Rs.23,000
Discount Allowed A/c Dr. Rs.2,000
To Sales A/c Rs.25,000
(Being goods sold to Yamini on credit and discount allowed)
x) Bhupesh A/c Dr. Rs.10,800
To Sales A/c Rs.10,800
(Being goods sold to Bhupesh at cost plus 20% and trade discount@10% on credit)
xi) Bank A/c Dr. Rs.47812.5
To Sales A/c Rs.47812.5
(Being goods sold via bank at cost plus 25% and trade discount@10%)
xii) Sales Returns A/c Dr. Rs.10,000
To Aman A/c Rs.10,000
(Being goods returned by Aman and recorded at cost)