Question

Question 4
a) Ansh has the following assets and liabilities on 1st April, 2018:
Land and building Rs. 75,000, Plant and Machinery Rs. 25,000, Creditors Rs. 15,000,
Bank Overdraft Rs. 20,000, Debtors Rs. 10,000, Prepaid Expenses Rs. 5000.
Pass the opening journal entry.
b) Purchased a Machinery worth Rs. 50,000 from Supreme Itd. Paid Carriage Rs.
5000, Wages on Installation Rs. 5000. Carriage and wages were paid by cheque.
Journalize.

Answer 1

Answer:

land & building a/c. dr. 75000

plant machinery. dr. 25000

debtor a/,c. dr. 10000

prepaid expenses. dr. 5000

To creditor. 15000

To bank overdraft. 20000

To capital a/c. 80000