Question No 17 Chapter No 16 - T.S. Grewal 11 Class

Question No 17 Chapter No 16

17. On 1st March 2018, R accepted a Bill of Exchange of 20,000 from S payable 3 months after the date in full settlement of his dues. On the same day, S endorsed the Bill of Exchanges to T together with a cheque for 5,000 in settlement of his debt to the latter. On 2nd March 2018, T discounted the Bill of Exchange @ 6% p.a. with his bankers. On maturity, the Bill of Exchange was dishonoured. Journalese the transactions in the books of R and T.

The solution of Question No 17 Chapter No 16: –

Books of R
Date	Particulars		L.F.	Debit	Credit
2018
Mar.01	S A/c	Dr.		20,000
	To Bills Payable A/c				20,000
	(Being Bill drawn by S was accepted)
June 04	Bills Payable A/c	Dr.		20,000
	To S A/c				20,000
	(Being Bills Payable dishonoured)

Books of S
Date	Particulars		L.F.	Debit	Credit
2018
Mar.01	Bank A/c	Dr.		5,000
	Bills Receivable A/c	Dr.		20,000
	To S A/c				25,000
	(Being Bill Receivable and cheque received from S)
Mar.02	Bank A/c	Dr.		19,700
	Discount Charges A/c	Dr.		300
	To Bills Receivable A/c				20,000
	(Being Bills drawn by Mohan was accepted)
June 04	S A/c	Dr.		20,000
	To Bank A/c				20,000
	(Being Bill received from S was dishonoured)

Advertisement-X

Bill of exchange (BOE): Meaning and Examples

Thanks, Please Like and share with your friends

Comment if you have any question.

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