Question No 3 Chapter No 16 – T.S. Grewal 11 Class

Question No 3 Chapter No 16

Question No 3 Chapter No 16

3. On 1st January 2018, A sold goods to B for 5,000 plus IGST @ 18%. A received 900 by cheque from B and drew on him a bill for the balance amount payable 3 months after date. The bill was duly accepted by B. A retained the bill till due date. On the due date, the bill was paid. Pass Journal entries in the books of A and B. Also show necessary accounts in the books of both the parties.

The solution of Question No 3 Chapter No 16: – 


In the books of A 
Date   Particulars
L.F. Debit Credit
2018          
Jan.01 B A/c Dr   5,900  
  To Sales A/c       5,000
  To Output IGST A/c       900
  (Being goods sold plus IGST @18 )        
Jan.01 Bills Receivable A/c Dr.   5,000  
  Bank A/c     900  
  To B’s A/c       5,900
  (Being Bill received )      
Apr.04 Cash A/c Dr.   5,000  
  To Bills Receivable A/c       5,000
  (Being Cash received against the bill )      
         
 

 


In the books of B 
Date   Particulars
L.F. Debit Credit
2018          
Jan.01 Purchases A/c Dr   5,000  
  Input IGST A/c Dr   900  
  To A A/c       5,900
  (Being goods bought plus IGST @18 )        
Mar 10 A  A/c Dr.   5,900  
  To Bills Payable A/c       5,000
  To Bank A/c       900
  (Being Bill accepted )      
Apr.04 Bills Payable A/c Dr.   5,000  
  To Cash A/c       5,000
  (Being Cash paid against the bill )      
         

 

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 3 Chapter No 16 - T.S. Grewal 11 Class

T.S. Grewal’s Double Entry Book Keeping

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