Question No 21 Chapter No 7

21. From the following particulars prepare a Cash Book with three Columns:

 2018 Jan.1 Balance of Cash in Hand 15,000 and Bank Overdraft 6,000 Jan.3 Issued a cheque of 4,800 to Mr. Black and earned a discount of 200 Jan.4 Direct deposit by Mr. Kapil in our bank account 3,800. Discount allowed 200 Jan.5 Given as charity 100 Jan.7 Issued a cheque of 500 to the petty cashier Jan.15 Goods worth 10,000 were sold to Ganesh on 10th January. Its payment was received today by cheque after deducting 5% cash discount Jan.16 Deposited the above cheque into Bank. Jan.17 Goods purchased from Raghu for 8,000. Payment is made after deducting 3% cash discount. Jan.18 Bought postage stamps 200 Jan.20 Paid 4,000 by cheque for furniture purchased. Jan.22 Arun who owed us 6,000 became bankrupt and paid 60 paise per Jan.24 Collected from Anil 5,000 in cash and deposited into bank the next day. Jan.24 Cash purchases of stationery 200 Jan.25 X settled his account of 7,000 by cheque of 6,850 Cheque was deposited into the bank on 28th January. Jan.27 Settled Y ‘s account of 8,000 by cheque after deducting therefrom 2 1/2 % cash discount Jan.29 Cash sales for 10,000, received cheque. Jan.30 Interest charged by bank 1,500.

## The solution of Question No 21 Chapter No 7: –

 Dr. Cash Book Cr. Date Particulars L.F. DiscountAllowed Cash Bank Date Particulars L.F. Discount Received Cash Bank 2020 2020 Jan.1 To Balance c/d – 15,000 – Jan.1 By Balance b/d – – 6,000 Jan.4 To Mr. Kapil A/c 200 – 3,800 Jan.3 By Mr. Black. A/c 200 – 4,800 Jan.16 To Cheques- in-Hand A/c 500 – 9,500 Jan.5 By Charity A/c – 100 – Jan.22 To Arun A/c – 3,600 – Jan.7 By Petty Exp. A/c – – 500 Jan.24 To Anil A/c – 5,000 – Jan.7 By Purchase A/c 240 7,760 – Jan.25 To Cash A/c – – 5,000 Jan.18 By Postage A/c – 200 – Jan.28 To Cheques- in-Hand A/c 150 – 6,850 Jan.20 By Furniture A/c – – 4,000 Jan.29 To Sale A/c – – 10,000 Jan.24 By Stationery A/c – 200 – Jan.25 By Bank A/c – 5,000 – Jan.27 By Y A/c 200 – 7,800 Jan.30 By Interest A/c – – 1,500 Jan.30 To Balance c/d 850 – – Jan.30 By Balance C/d 170 1,000 2,075 850 23,600 35,150 170 23,600 35,150

 Date Particulars L.F. Debit Credit 2020 Jan. 15 Cheques-in-Hand A/c Dr. 9,500 Discount Allowed A/c Dr. 500 To Ganesh 10,000 (Being Cheque received from Pramod) Jan. 25 Cheques-in-Hand A/c Dr. 6,850 Discount Allowed A/c Dr. 150 To X 7,000 (Being Cheque received from X)

Note: Transaction dated January 29, 2017, does not contain any information regarding date of depositing the cheque, so it has been assumed that the cheque has been deposited on the same day

Cash Book | Types of Cash Book | Subsidiary Books

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## D K Goel – New ISC Accountancy -(Class 11 – ICSE)- Solution

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