Record the following transactions of M/S Tools India Limited in Double Column Cash Book.
Date Particulars Amount
Rs.
2017
January -1
Bank balance
Cash balance
48,000
12,000
January -4 Purchased goods for cash 6,000
January -8 Bought goods by cheque 15,000
January -12 Sold goods for cash 11,000
January -15 Purchased machinery by cheque 7,500
January -16 Sold goods and received cheque and deposited into the bank 8,500
January -20 Bought stationery by cheque 2,000
January -21 Cheque given to Rohit 3,500
January -27 Withdrawn cash from bank for office purpose 10,000
January -31 Rent paid by cheque 3,000
January -31 Paid Salary 4,000
Answers
prepare cash book and bank column cash book
Given:
Date
Particulars Amount
2017 January -1
Bank balance 48000
Cash balance 12000
January -4 Purchased goods for cash 6,000
January -8 Bought goods by cheque 15,000
January -12 Sold goods for cash 11,000
January -15 Purchased machinery by cheque 7,500
January -16 Sold goods and received the cheque and deposited into the bank 8,500
January -20 Bought stationery by cheque 2,000
January -21 Cheque given to Rohit 3,500
January -27 Withdrawn cash from the bank for office purpose 10,000
January -31 Rent paid by cheque 3,000
January -31 Paid Salary 4,000
To Find:
Record the following transactions of M/S Tools India Limited in Double Column Cash Book.
Solution:
- The opening balances of cash and bank as of 1st Jan 2017 has been written as to balance b/d.
- The closing balances of cash and bank as of 31st Jan 2017 has been written as to balance c/d.
- The closing cash balance appears on the debit side which means deficiency of cash in the form of MS tools India.
- Cash withdrawal from the bank as of 27th Jan 2017 of Rs10000 is a contra entry and hence (c) has been written while entry in the books.
Hence, the double column cash book has been prepared and attached below,
