Accounting for Management

Unit I
Journal
1. Enter the following transactions in the books of Mr. Suresh
1st September, 2015:
2nd September, 2015:
3rd September, 2015:
4th September, 2015:
5th September, 2015:
6th September, 2015:

Purchased goods from Ramu

Sold goods to Rajesh
Bought furniture from Rahul
Sold goods for cash
Received cash from Rajesh
Paid to Rahul

Rs.10,000
Rs.30,000
Rs.50,000
Rs. 6,000
Rs.20,000
Rs.25,000

2. Mr. Pirmal has the following transactions in the month of April.

Write Journal Entries for the transactions.
10th April : Commenced business with a capital of 1,00,000
11th April : Purchased goods from Neeru for 20,000
13th April : Purchased Goods for Cash 15,000
14th April : Purchased Goods from Abhiram for cash 9,000
16th April : Bought Goods from Shyam on credit 12,000
17th April : Sold goods worth 15,000 to Varun
19th April : Sold goods for cash 20,000
20th April : Sold goods to Utsav for cash 6,000
21st April : Sold goods to Pranav on credit 17,000
22nd April : Returned goods to Veeru 3,000
23rd April : Goods returned from Tarun 1,000
25th April : Goods taken by the proprietor for personal use 1,000
26th April : Bought Land for 50,000
27th April : Purchased machinery for cash 45,000
28th April : Bought computer from Intel Computers for 25,000
28th April : Cash sales 15,000
29th April : Cash purchases 22,000
30th April : Bought furniture for proprietor's residence and paid cash 10,000
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3. Journalize the following transactions in the books of Ramesh Ltd.

2015 Jan 1:
Ramesh started business with cash Rs.14,000
Jan 2:
Purchased the goods from Rajesh Rs.3,000
Jan 3:
Purchased the goods for cash from Anil Rs.8,000
Jan 4:
Sold the goods for cash Rs.8,000
Jan6:
Sold the goods to Radha Rs.12,000
Jan 7:
Sold the goods to Krishna for cash Rs.7,000
Jan 8:
Purchased the gods Rs.2,000
Jan9:
Paid to Rajesh Rs.3,000
Jan10:
Received cash from Radha Rs.12,000
Jan 11:
Paid Wages Rs.500
Jan12:
Paid salaries Rs.1,000
4. Journalize the following transactions in the books of Mr. Madan
2015
Rs.
July 1
Started business with a capital of
60,000
July 2
Paid into bank
30,000
July 4
Purchased goods from Ram on credit
10,000
July 6
Paid to Ram in full settlement of his account
9,500
July 7
Cash Sales
20,000
July 12
Sold to Himakanth
5,000
July 15
Purchased goods from Ravindra on credit
7,500
July 18
Paid salaries
4,000
July 20
Received from Priyanka
2,500
July 25
Withdrew from bank for office use
5,000
July 27
Withdrew cash from bank for personal use
1,000
July 30
Paid Rent
7,000
5. Pass a compound journal entry in each of the following cases:
(i)
Payment made to Ram Rs.1,000. He allowed a cash discount of
Rs.50.
(ii)
Cash received from Suresh Rs.800 and allowed him Rs.50 as
discount.
(iii)
A running business was purchased by Mohan with the following
assets and liabilities.
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Cash Rs.2,000; Land Rs.4,000; Furniture Rs.1,000; stock
Rs.2,000; Creditors Rs.1,000; Bank Overdraft Rs.2,000.
6. Journalize the following transactions.
(i)
1-4-14: Rakesh commenced business with capital of Rs.5,00,000.
(ii)
4-4-14: Opened current account with SBI and deposited
Rs.3,00,000.
(iii)
10-4-14: Purchased office furniture and issued cheque Rs.50,000.
(iv)
15-4-14: Purchased office rent Rs.5,000 and wages Rs.200.
(v)
18-4-14: Cash purchases Rs.1,50,000 and credit purchases from
Ravi and Sons Rs.50,000.
(vi)
20-4-14: Paid for advertisement Rs.2,000.
(vii) 25-4-14: Cash Sales Rs.45,000 and credit sales Rs.25,000 to
Mahesh and Company.
(viii) 30-4-14: Paid to Ravi and Sons Rs.49,500 in full settlement of their
account.
(ix)
30-4-14: Paid Salaries Rs.8,000.
(x)
30-4-14: Received from Mahesh and Company Rs.24,800 in full
settlement of their account.
7. Journalize the following transactions.
i)
1-4-14
: Mahesh commenced business by introducing
Rs.5,00,000 cash towards his capital.
ii)
5-4-14
: Opened a current account with SBI and deposited
Rs.3,00,000.
iii)
10-4-14
: Cash purchase of goods Rs.75,000.
iv)
15-4-14
: Paid rent towards building hired for business
purpose Rs.5,000 to Mr. Pradeep, owner of the building.
v)
20-4-14
: Sold goods for cash Rs.50,000.
vi)
25-4-14
: Furniture purchased for business use and paid
through cheque Rs.15,000.
vii)
28-4-14
: Purchased goods from Mohan on credit Rs.30,000.
viii) 30-4-14
: Sold goods to Sunil on credit Rs.15,000.
ix)
15-5-14
: Received Cash from Sunil Rs.14,750 and discount
allowed to him Rs.250.
x)
20-5-14
: Paid cash to Mohan Rs.29,800 and discount allowed
by him Rs.200.
8. Record the following transactions in the journal of Agra Furniture Marts.
Oct 1: Started business with cash Rs.50,000.
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Oct 3: Deposited in Bank Rs.40,000.
Oct 3: Purchased Machinery for Rs.25,000 from Ravindra and paid him by
cheque .
Oct 4: Paid installation charges for Machinery Rs.500.
Oct 5: Purchased timber from Naresh of the listed price of Rs.5,000. He allowed
10% trade discount.
Oct 6: Furniture cost Rs.1,000 was used in furnishing the office.
Oct 7: Sold furniture to Sreedevi of the list price Rs.10,000 and allowed her 5%
trade discount.
Oct 8: Discounted a bill of exchange for Rs.5,000 at 1% through bank.
Oct 9: Received payment of loan of Rs.10,000 and deposited Rs.8,000 out of it
into the bank.
Oct 10: Received a cheque from Sreedevi for Rs.9,200 in full settlement and
send the cheque to the bank.
Oct 11: Sent to Naresh, in full settlement, a cheque for Rs.4,300.
Oct 12: Purchased machinery from Vinod for Rs.10,000 and paid him by
means of a bank draft purchased from bank for Rs.10,050.
9. Journalize the following transactions.
(i)
Mr. Khanna started business with Rs.5,00,000 on 1st May 2014.
(ii)
10th May 2014: Opened current account with HDFC and deposited
Rs.3,00,000.
(iii)
15th May
: Cash purchase of goods Rs.1,00,000.
th
(iv)
18 May
: Cash Sales Rs.80,000.
th
(v)
20 May
: Paid office rent through cheque Rs.8,000
th
(vi)
25 May
: Purchased furniture for office use and paid through
cheque Rs.25,000.
(vii) 28th May
: Paid wages Rs.1,000 and salaries Rs.12,000 in cash.
th
(viii) 30 May
: Purchased gods from Das on credit Rs.30,000 and
sold goods to Pavan on credit Rs.25,000.
10.
(i)
(ii)
(iii)
(iv)
(v)

Enter the following transactions in Journal

Rahul started business with Rs.10,00,000 capital on 1st August 2014.
5th August : Opened a current account with SBH and deposited as
Rs.6,00,000 from the above capital amount.
10th August : Purchased office furniture Rs.50,000 and paid through
cheque to Nelson & CO.
16th August: Cash Purchases Rs.80,000 and credit purchases
Rs.45,000 from Suraj & Company.
20th August: Cash Sales Rs.35,000.

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(vi)

30th August: Paid office rent Rs.10,000; wages Rs.3,000 and

Telephone bill Rs. 2,000.

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