Question No 41 Chapter No 15 – USHA Publication 11 Class

Question No 41 Chapter No 15

Question No 41 Chapter No 15

Free Accounting book Solution - Class 11 and Class 12

Renewal of Bill

41. Journalise the following transaction
(a)Retired our acceptance in favor of Ram for Rs 5,000 by cheque Rs 2,000 and a new bill the balance at two months with Rs 125 as interest
(b)Our acceptance to Karan for Rs 9,000 renewed for three months with interest at 6% p.a.
(c)Archana on whom we had drawn a bill for Rs 2,500 has become insolvent and 40% has been received in final payment
(d)Raghu’s acceptance in our favor has been dishonoured for Rs 2,000. he pays Rs 500 in cash and accepts a new bill for the balance plus interest at 8% p.a at 3 months

The solution of Question No 41 Chapter No 15: –

 

Journal
Date   Particulars
L.F. Debit Credit
           
(a) Bill Payable A/c Dr.   5,000  
  To Ram A/c       5,000
  (Being cancellation of the bill.)        
           
  Ram A/c Dr.   2,000  
  To Bank A/c       2,000
  (Being payment received from Ram.)        
        125  
  Intrest A/c        125
            To Ram A/c         
           
  Ram A/c Dr.   3,125  
  To Bill Payable A/c       3,125
  (Being new bill for the balance of the amount.)        
           
(b) Bill Payable A/c Dr.   9,000  
  To Karan A/c       9,000
  (Being the cancellation of old bill.)        
           
  Interest A/c Dr.   135  
  To Karan A/c       135
  (Being interest paid in cash.)        
           
  Karam A/c Dr.   9,135  
  To Bills Payable A/c       9,135
  (Being acceptance of the new bill for amount with interest.)        
           
(C) P A/c Dr.   2,500  
  To Bill Receivable A/c       2,500
  (Being the cancellation of old bill.)        
           
  Cash A/c Dr.   1,000  
  Bad Debts A/c Dr.   1,500  
  To P A/c       2,500
  (Being amount received from the estate of P balance written off bad debts.)        
           
(d) Raghu A/c Dr.   2,000  
  To Bill Receivable A/c       2,000
  (Being the cancellation of old bill.)        
           
  Cash A/c Dr.   500  
  To Raghu A/c       500
  (Being amount received from Raghu in part of Payment.)        
           
  Raghu A/c Dr.   30  
  To Interest A/c       30
  (Being interest on Rs 1,500 @ 8% for 3 months.)        
           
  Bill Receivable A/c Dr.   1,530  
  To Rahu A/c       1,530
  (Being receipt of new bill for the balancing amount including interest.)        
         

 

Bills Receivable Book | Subsidiary Books | Examples

 

Bills Payable Book | Subsidiary Books | Examples

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

Usha Publication – Elements of Book-Keeping PSEB (Class 11) – Solution

Chapter No. 1 – Introduction

Chapter No. 2 – Theory Base of Accounting 

Chapter No. 3 – Origin of Transactions

Chapter No. 4 – Vouchers and transactions

Chapter No. 5 – Journal

Chapter No. 6 – Accounting for Goods and Services Tax(GST)

Chapter No. 7 – Ledger

Chapter No. 8 – Cash Book

Chapter No. 9 – Other Subsidiary Books

Chapter No. 10 – Journal Proper

Chapter No. 11 – Trial Balance

Chapter No. 12 – Bank Reconciliation Statement

Chapter No. 13 – Depreciation

Chapter No. 14 – Provisions and Reserves 

Chapter No. 15 – Bills of Exchange

Chapter No. 16 – Rectification of Errors 

Chapter No. 17 – Financial Statements – (Without Adjustments)

Chapter No. 18 – Financial Statements – (With Adjustments)

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