Question No 19 Chapter No 14 – Class 11 Unimax

19. A sells goods to B for ₹ 10,000 plus CGST and SGST @ 9% each. Vimal pays ₹ 1,800 in cash and accepts a bill on him for the balance amount for 3 months. Before the due date, B requests A to cancel the bill, to accept of 2 months ₹ 200 being the interest for the extended period. A agrees to the proposal. The new bill is duly honored.
Pass necessary journal entries and other party’s account in the books of both the parties.

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The solution of Question No 19 Chapter No 14 – UNIMAX Class 11

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

The solution of Question No 19 Chapter No 14 – UNIMAX Class 11

Journal for Mr. ‘A’ (Drawer)
Date	Particulars		L.F.	Debit	Credit
2020
Jan. 1	B’s A/c	Dr.		11,800
	To Sales A/c				10,000
	To Output CGST A/c				900
	To Output SGST A/c				900
	(Being goods sold to B, charged CGST and SGST @ 9% each)

Jan. 1	Bill receivable A/c	Dr.		10,000
	Cash A/c	Dr.		1,800
	To B’s A/c				11,800
	(Being the cash received and acceptance from balance amount from B for 3 months)

Jan. 1	B’s A/c	Dr.		10,000
	To Bill receivable A/c				10,000
	(Being the bill cancelled for renewal)

Mar.7	Cash A/c	Dr.		3,000
	To B’s A/c				3,000
	(Being the cash received as part payment)

	B’s A/c			200
	To Interest A/c				200
	(Being the interest charges for the extended period)

Mar.7	Bill receivable A/c			7,200
	To B’s A/c				7,200
	(Being the new bill drawn for the balance plus interest)

June 10	Bank A/c	Dr.		7,200
	To Bill receivable A/c				7,200
	(Being the new bill duly honoured)

Dr.	B’s A/c						Cr.
Date	Particulars	J.F.	Amount	Date	Particulars	J.F.	Amount
	To Sales A/c		10,000		By Bill receivable A/c		10,000
	To Output CGST A/c		900		By Bank/Cash A/c		1,800
	To Output SGST A/c		900		By Bank/Cash A/c		3,000
	To Bills receivable A/c		10,000		By Bill receivable A/c		7,200
	To Interest A/c		200

			22,000				22,000

Journal for Mr. ‘B’ (Drawee)
Date	Particulars		L.F.	Debit	Credit

	Purchases A/c	Dr.		10,000
	Input CGST A/c	Dr.		900
	Input SGST A/c	Dr.		900
	To A’s A/c				11,800
	(Being the goods purchased from A, paid CGST and SGST @ 9% each)

	A’s A/c	Dr.		11,800
	To Bill payable A/c				10,000
	To Bank A/c				1,800
	(Being the cash paid and acceptance of a bill for the balance amount give to anil)

	Bill payable A/c	Dr.		10,000
	To A’s A/c				10,000
	(Being the bill cancelled on renewal)

	A’s A/c	Dr.		3,000
	To Bank A/c				3,000
	(Being the part payment made)

	Interest A/c	Dr.		200
	To A’s A/c				200
	(Being the interest payable to A for the extended period)

	A’s A/c	Dr.		7,200
	To Bills payable A/c				7,200
	(Being the acceptance of a new bill for the balance plus interest)

	Bills payable A/c	Dr.		7,200
	To Bank A/c				7,200
	(Being the new bill duly honoured by payment)

Dr.	A’s A/c						Cr.
Date	Particulars	J.F.	Amount	Date	Particulars	J.F.	Amount
	To Bill payable A/c		10,000		By Purchases A/c		10,000
	To Bank A/c		1,800		By Input CGST A/c		900
	To Bank A/c		3,000		By Input SGST A/c		900
	To Bill payable A/c		7,000		By bills payable A/c		10,000
					By Interest A/c		200

			22,000				22,000

Read out the full article to know the meaning of Cash Book

Bill of exchange (BOE): Meaning and Examples

Also, Check out the same article in Hindi from the following link

Bill of exchange (BOE): Meaning and Examples

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

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

Part-I

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Chapter No. 1 – Introduction of Accounting
Chapter No. 2 – Theory Base of Accounting
Chapter No. 3 – Vouchers and Transactions
Chapter No. 4 – Journal
Chapter No. 5 – Goods and Services Tax (GST): An Introduction
Chapter No. 6 – Ledger
Chapter No. 7 – Special Purpose Book – Cash Book
Chapter No. 8 – Other Subsidiary Books
Chapter No. 9 – Trial Balance
Chapter No. 10 – Rectification of Errors
Chapter No. 11 – Depreciation
Chapter No. 12 – Provision and Reserves
Chapter No. 13 – Bank Reconciliation Statement
Chapter No. 14 – Bills of Exchange

Students may choose only one part from the Part II and Part III

Part-II

Chapter No. 15 – Financial Statements (Without Adjustments)
Chapter No. 16 – Financial Statements (With Adjustments)
Chapter No. 17 – Accounts from Incomplete Records – Single Entry System

Part-III

Chapter No. 18 – Introduction to Computers and Accounting information System
Chapter No. 19 – Computerised Accounting
Chapter No. 20 – Accounting Software: Tally
Chapter No. 21 – Data Base System
Chapter No. 22 – Concept of Entity and Relationship

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