Question No 43 Chapter No 15 – USHA Publication 11 Class

Question No 43 Chapter No 15

Question No 43 Chapter No 15

Renewal of Bill

43. On 15th June,2018 Saksena Bros. owed Kapoor &Co RS 15,000. the latter drew upon the former two bills-one for Rs 10,000 payable two months after date and the other for Rs 5,000 payable thee months after date. Kapoor & Co. discounted the first bill at 6 percent per annum and endorsed the second bill in factor of Sarabjit & Co. the bill was duly met duly met on maturity but the second bill was dishonoured and Sarabjit & Co. paid RS 45 as noting charges. On 1st October Saksena Bros. cleared their account by Paying Rs 5,060 which also included Rs 15 as interest
Write up the journal entries in the book of Kapoor & Co. and Saksena Bros.

The solution of Question No 43 Chapter No 15: –

 

In the book of Kapoor & Co (Drawee)
Date   Particulars
L.F. Debit Credit
2018          
Jun.15 Bill Receivable A/c Dr.   15,000  
  To Saksena Bros. A/c       15,000
  (Being receipt of two bill received payable after 3 months.)        
           
Jun.15 Bank A/c Dr.   9,900  
  Discount A/c Dr.   100  
  To Bill Receivable A/c       10,000
  (Being the amount receivable on discounting of the first bill.)        
           
Jun.15 Sarabjit & Co A/c Dr.   5,000  
  To Bills Receivable A/c       5,000
  (Being bill endorsed to Sarabjit & Co.)        
           
Sep.4 Saksena Bros. A/c Dr.   5,045  
  To Sarabjit & Co A/c       5,045
  (Being dishonor of the discounted bill nothing charges paid .)        
           
Oct.1 Cash A/c Dr.   5,060  
  To Saksena A/c       5,045
  To Interest A/c       15
  (Being amount receive from Saksena including interest .)        
         

 

In the book of Saksena Bros (Drawer)
Date   Particulars
L.F. Debit Credit
2018          
Jun.15 Kapoor A/c Dr.   15,000  
  To Bill Payable A/c       15,000
  (Being acceptance of two bill payable after 3 months .)        
           
Aug.18 Bill Payable A/c Dr.   10,000  
  To Cash A/c       10,000
  (Being payment made of one of the bill.)        
           
Sep.18 Bill Payable A/c Dr.   5,000  
  Noting Charges A/c Dr.   45  
  To Kapoor A/c       5,045
  (Being dishonor of bill presented by bank on the due date.)        
           
Oct.1 Kapoor A/c Dr.   5,045  
  Interest A/c Dr.   15  
  To Cash A/c       5,060
  (Being payment of the amount dur to Kapoor & Co. 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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