Question No 15 Chapter No 16 - T.S. Grewal 11 Class

Question No 15 Chapter No 16

15. On 1st July 2017, A drew a bill for 5,000 on B payable after 3 months. A discounted it with the Bank for 4,850. On maturity B failed to pay the amount of his acceptance and the bank had to pay 50 as noting charges. Draw up the necessary Journal entries in the books of A and B.

The solution of Question No 15 Chapter No 16: –

Books of A
Date	Particulars		L.F.	Debit	Credit
2017
Jul.01	Bills Receivable A/c	Dr.		5,000
	To B				5,000
	(Being Goods sold to Kailash)
Jun.23	Bank A/c	Dr.		4,850
	Discount Charges A/c	Dr.		150
	To Bills Receivable A/c				5,000
	(Being Kailash ′s acceptance was received)
Oct.04	B A/c	Dr.		5,050
	To Bank A/c				5,050
	(Being Received cash from Kailash)

Books of B
Date	Particulars		L.F.	Debit	Credit
2017
Mar.20	A A/c	Dr.		5,000
	To Bills Payable A/c				5,000
	(Being Bill drawn by A was accepted)
Oct.04	Bills Payable A/c	Dr.		5,000
	Noting Charges A/c	Dr.		50
	To A A/c				5,050
	(Being Bills Payable dishonoured)

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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