Question No 30 Chapter No 14 – Class 11 Unimax

30. Yashpal owed money to Srinivas and hence accepted two bills each of 4,850 of three months. Duration drawn on him by Srinivas. On July 1, Srinivas endorsed one of the bills in favour of Hari Ram on July 7. On the same date he discounted the other bills with his bank and received net proceeds of ₹ 4,675.
Yashpal failed to meet both the bills on the date of maturity. On 4th October the bank debited the account of Srinivas with value of the second bill plus their charges of ₹ 20.
Yashpal is adjudged insolvent of the above in the books of Yashpal and Srinivas.

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The solution of Question No 30 Chapter No 14 – UNIMAX Class 11

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

The solution of Question No 30 Chapter No 14 – UNIMAX Class 11

Journal for Mr. ‘Srinivas’ (Drawer)
Date	Particulars		L.F.	Debit	Credit

July 1	Bill receivable (1) A/c	Dr.		4,850
	Bill receivable (2) A/c	Dr.		4,850
	To Yashpal A/c				9,700
	(Being two acceptance of bill received from Yashpal of ₹ 4,850 each)

July 7	Hari Ram’s A/c	Dr.		4,850
	To Bill receivable A/c (1)				4,850
	(Being a bills receivable endorsed to Hari Ram)

July 7	Bank A/c	Dr.		4,675
	Discount A/c	Dr.		175
	To Bill receivable A/c (2)				4,850
	(being bill discounted with bank)


Oct. 4	Yashpal A/c	Dr.		1,000
	To Hari Ram A/c				940
	(Being first bill not met by Yashpal on due date)

Oct. 4	Yashpal A/c	Dr.		4,200
	To Bank A/c				4,200
	(Being Second bill not met by Yashpal & Bank charges)

Nov. 1	Cash A/c	Dr.		720
	Bad debts A/c	Dr.		80
	To Yashpal a/c				800
	(Being Yashpal become insolvent & only 60% amount received from Him)

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

July 1	Srinivas A/c	Dr.		9,700
	To Bill payable A/c (1)				4,850
	To Bill payable A/c (2)				4,850
	(Being two acceptances of bill given to Srinivas)

Oct. 4	Bills payable A/c (1)	Dr.		4,850
	To Srinivas A/c				4,850
	(Being bill payable (1) not met on due date)

Oct. 4	Bills payable A/c (2)	Dr.		4,850
	Bank charges A/c	Dr.		20
	To Srinivas A/c				4,870
	(Being second bill also not met on due date)

Nov. 1	Srinivas A/c	Dr.		9,720
	To Cash A/c				5,832
	To Deficiency A/c				3,888
	(Being insolvent and only 60% amount paid to Srinivas)