Question No 30 Chapter No 16 - T.S. Grewal 11 Class

Question No 30 Chapter No 16

30. On 15th June, 2017, X sold to Y goods to the value of 15,000 drawings upon the latter two bills, one for 10,000 payable 2 months after the date and other for 5,000 payable 3 months after date, X discounted the first bill with his bankers at 6% p.a. and endorsed the second bill in favour of his creditor, Z. The first bill was met on maturity but the second was dishonoured. Z paid 50 as noting charges. On 1st October, Y cleared his account to X by paying 5,100 which included 50 as interest.

The solution of Question No 30 Chapter No 16:-

Books of X
Date	Particulars		L.F.	Debit	Credit
2017
June 15	Y A/c	Dr.		15,000
	To Sales A/c				15,000
	(Being Ram′s acceptance received)
June 15	Bills Receivable A/c Billno1	Dr.		1,970
	Bills Receivable A/c Billno2	Dr.		30
	To Y				15,000
	(Being Y′s acceptance was received)
June 15	Bank A/c	Dr.		9,900
	Discount Charges A/c	Dr.		100
	To Bills Receivable A/c Billno1				10,000
	(Being Billno1 which was issued for two months discounted at 6%)
June 15	Z A/c	Dr.		5,000
	To Bills Receivable A/c Billno2				5,000
	(Y′sacceptance Billno2 endorsed in favour of Z)
Sep.18	Y A/c	Dr.		34
	To Z				34
	(Being Spaceplane which had endorsed in favour Z dishonoured)
Oct.01	Y A/c	Dr.		50
	To Interest A/c				50
	(Being Interest due from Y)
Oct.01	Cash A/c	Dr.		5,100
	To Y				5,100
	(Being Amount due from Y received)

Books of Y
Date	Particulars		L.F.	Debit	Credit
2018
June 15	Purchases A/c	Dr.		15,000
	To X				15,000
	(Being goods were bought from X)
June 15	X A/c	Dr.		15,000
	To Bills Payable A/c Billno1				10,000
	To Bills Payable A/c Billno2				5,000
	(Being Bill dishonoured on its due date)
Aug.18	Bills Payable A/c Billno1	Dr.		10,000
	To Bank A/c				10,000
	(Being Payment made for a bill on maturity)
Sep.18	Bills Payable A/c Billno2	Dr.		5,000
	Noting Charges A/c	Dr.		50
	To X				5,050
	(Being Interest due to Mohan on the outstanding balance for 3months)
Oct.01	Interest A/c	Dr.		50
	To X				50
	(Being Interest due to X)
Oct.01	X A/c	Dr.		5,100
	To Cash A/c				5,100
	(Being Payment made to X)

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