Question No 10 Chapter No 16 – T.S. Grewal 11 Class

Question No 10 Chapter No 16

Question No 10 Chapter No 16

10. On 10th July 2017, A sold goods to B for 35,000 plus IGST @ 18%. He drew on him a 3 months bill for 35,000 and received a cheque for the balance amount. B accepted the bill. After 10 days, A endorsed the bill to his creditor C. On the due date, acceptance is duly met. Show entries in the books of A, B, and C

The solution of Question No 10 Chapter No 16: – 


Books of A
Date   Particulars
L.F. Debit Credit
2017          
July 10 B A/c Dr.   41,300  
  To Sales A/c       35,000
  To Output IGST A/c       6,300
  (Being goods sold plus IGST @12)        
July 10 Bills Receivable A/c Dr.   35,000  
  Bank A/c Dr.   6,300  
  Bills Payable A/c       41,300
  (Being bill accepted by B and paid IGST by Cheque )      
July 20 C A/c Dr.   35,000  
  To Bills Receivable A/c       35,000
  (Being B′s acceptance endorsed in favour of C)      
         

 


Books of B
Date   Particulars
L.F. Debit Credit
2017          
July 10 Purchases A/c Dr.   35,000  
  Input IGST A/c Dr.   6,300  
  To A A/c       41,300
  (Being goods bought plus IGST @12)        
July 10 A  A/c Dr.   41,300  
  To Bills Payable A/c       35,000
  To Bank A/c       6,300
  (Being bill accepted by B and paid IGST by Cheque )      
Oct 13 Bills Payable A/c Dr.   35,000  
  To Cash A/c       35,000
  (Being payment made of the bills payable)      
         

 


Books of C
Date   Particulars
L.F. Debit Credit
2017          
July 20 Bills Receivable A/c Dr.   35,000  
  To A A/c       35,000
  (Being bill received from A)        
Oct 13 Cash A/c Dr.   35,000  
  To Bills Receivable A/c       35,000
  (Being cash received from B)      
         

 

Bill of exchange (BOE): Meaning and Examples

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Also, Check out the solved question of previous Chapters: –

    • Chapter No. 1 – Introduction to Accounting
    • Chapter No. 2 – Basic Accounting Terms
    • Chapter No. 3 – Theory Base of Accounting, Accounting Standards and International Financial Reporting Standards(IFRS)
    • Chapter No. 4 – Bases of Accounting
    • Chapter No. 5 – Accounting Equation
    • Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
    • Goods and Services Tax(GST)
    • Chapter No. 7 – Origin of Transactions – Source Documents and Preparation of Vouchers
    • Chapter No. 8 – Journal
    • Chapter No. 9 – Ledger
    • Chapter No. 10 – Special Purpose Books I – Cash Book
    • Chapter No. 11 – Special Purpose Books II – Other Books
    • Chapter No. 12 – Bank Reconciliation Statement
    • Chapter No. 13 – Trial Balance
    • Chapter No. 14 – Depreciation
    • Chapter No. 15 – Provisions and Reserves
    • Chapter No. 16 – Accounting for Bills of Exchange
    • Chapter No. 17 – Rectification of Errors
    • Chapter No. 18 – Financial Statements of Sole Proprietorship
    • Chapter No. 19 – Adjustments in preparation of Financial Statements
    • Chapter No. 20 – Accounts from incomplete Records – Single Entry System
    • Chapter No. 21 – Computers in Accounting
    • Chapter No. 22 – Accounting Software – Tally
    • Chapter No. 5 – Accounting Equation
    • Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
    • Goods and Services Tax(GST)
    • Chapter No. 8 – Journal
    • Chapter No. 9 – Ledger
    • Chapter No. 10 – Special Purpose Books I – Cash Book

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T.S. Grewals Double Entry Book Keeping - Question No 10 Chapter No 16 - T.S. Grewal 11 Class

T.S. Grewal’s Double Entry Book Keeping

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