UNIT – 2

LEDGER
Question No : 1

2017 (₹)
1.3.2017 Shyam Sunder & Sons commenced business with cash 80,000

2.3.2017 Purchased goods for cash 36,000

3.3.2017 Machinery purchased for cash 4,000
4.3.2017 Purchased goods from :
Raghu 22,000
Dilip 30,000

ANSWER:

Journal
In the Books of…

Date Particulars L.F. Debit Amount (Rs) Credit Amount (Rs)

2017
Mar. 01 Cash A/c Dr. 80,000
To Capital A/c 80,000
(Business started with cash)

Mar. 02 Purchases A/c Dr. 36,000

To Cash A/c 36,000
(Goods purchased for cash)

Mar. 03 Machinery A/c Dr. 4,000

To Cash A/c 4,000
(Machinery purchased for
cash)

Mar. 04 Purchases A/c Dr. 52,000

To Raghu’s A/c 22,000
To Dilip’s A/c 30,000
(Goods purchased on credit from
Raghu and Dilip)

Cash Account
Dr. Cr.
 Amount J.F Amount (R
Date Particulars J.F. Date Particulars
(Rs) . s)
2017 2017
Mar.02
Mar.01 Capital A/c 80,000 Purchases A/c 36,000

Mar.03 Machinery A/c 4,000

Balance c/d 40,000

80000 80,000
2017
Apr.01
Balance b/d 80,000

Capital Account
Dr Cr
. .
Amoun
Particula J.F Amount (R J.F
Date Date Particulars t
rs . s) .
(Rs)
2017 2017
Mar.3 Balance
80,000 Mar.01 Cash A/c 80,000
1 c/d
80,000 80,000
2017
Apr.01 Balance b/d 80,000

Purchases Account
Dr
Cr.
.
Amou
J. Amount ( Particul J.
Date Particulars Date nt
F. Rs) ars F.
(Rs)
2017 2017
Mar. Balance
Mar.02 Cash A/c 36,000 88,000
31 c/d
Mar.04 Raghu’s A/c 22,000
Dilip’s A/c 30,000
88,00
88,000
0
2017
Apr.01 Balance b/d 88,000

Machinery Account
Dr. Cr.
Amount Amount
Date Particulars J.F. Date Particulars J.F.
(Rs) (Rs)
 2017 2017
Balance
Mar.03 Cash A/c 4,000 Mar.31 4,000
c/d
4,000 4,000
2017
Apr.01 Balance
4,000
b/d

Raghu’s Account
D Cr.
r.
Dat J. Amount J. Amount
Particulars Date Particulars
e F. (Rs) F. (Rs)
201 Balance c/d 22,000 201
7 7
Mar. Purchases A/c 22,000
04

22,000 22,000
Balance b/d 22,000

Dilip’s Account
Dr. Cr.
Date Particulars J.F. Amount (Rs) Date Particulars J.F. Amount (Rs)
2017 Balance c/d 30,000 2017
Mar.04 Purchases
30,000
A/c

30,000 30,000
2017
Balance
Apr.01 30,000
b/d

Question 2.

On 1st April, 2018, Mohit started business with a capital of ₹ 50,000. He

made the following transactions:
You are required to journalise the above transactions and show the respective
Ledger accounts.

Solution:
Question 3.

Suresh, Kanpur commenced business on 1st January, 2018 introducing capital

in cash ₹ 1,00,000. His other transactions during the month were as follows:

Enter the above transactions in his books of account.

Solution:
QUESTION NO : 4

Following balances appeared in the books of Ram & Shyam on January 1,

2017 :−
Assets : Cash in hand ₹ 30,000; Stock ₹ 36,000; Lal Chand ₹ 7,600; Mukesh
Khanna ₹ 16,200; Furniture ₹ 8,000.
Liabilities : Ghanshyam ₹ 6,000; Vinod ₹ 8,000.
Following transactions took place during Jan. 2017 :−

2017
Jan. 2 Purchased Typewriter for ₹ 7,500.
4 Sold goods for Cash of the list price of ₹ 25,000 at 20% trade discount
and 5% Cash discount.
6 Sold goods to Gopal Seth for ₹ 10,000.
8 Gopal Seth returned goods for ₹ 1,500.
12 Purchased goods from Arun ₹ 12,000; and from Varun ₹ 15,000.
 13 Settled Arun's account in full after deducting 5% for cash discount.
14 Paid cash to Ghanshyam in full settlement of his account.
16 Received ₹ 7,500 from Lal Chand in full settlement of his account.
17 Purchased a Scooter for office use ₹ 18,000.
20 Sold goods for cash ₹ 20,000.
22 Received from Gopal Seth ₹ 4,850 and discount allowed ₹ 150.
27 Paid for Wages ₹ 7,000 and Salaries ₹ 3,000.
28 Withdrew goods for ₹ 2,000 and Cash ₹ 1,500 for private use.
29 Paid for Life Insurance Premium of the Proprietor ₹ 1,600.

Journalise the above transactions, post them into Ledger.

ANSWER:

Journal
In the Books of Ram & Shyam
L. Debit Amount Credit Amount
Date Particulars
F. (Rs) (Rs)
2017
Jan. D
Cash in hand A/c 30,000
01 r.
D
Stock A/c 36,000
r.
D
Lal Chand’s A/c 7,600
r.
D
Mukesh Khanna’s A/c 16,200
r.
D
Furniture A/c 8,000
r.
To Ghanshyam’s A/c 6,000
To Vinod’s A/c 8,000
To Capital A/c (Balancing
83,800
figure)
(Opening entry made)

Jan. D
Office Equipment A/c 7,500
02 r.
To Cash A/c 7,500
(Typewriter purchased)

Jan. D
Cash A/c 19,000
04 r.
D
Discount Allowed A/c 1,000
r.
To Sales A/c 20,000
(Goods sold for cash at 20%
trade discount)

Jan. D
Gopal Seth’s A/c 10,000
06 r.
To Sales A/c 10,000
(Goods sold on credit to
Gopal Seth)
Jan. D
Sales Return A/c 1,500
08 r.
To Gopal Seth’s A/c 1,500
(Goods returned)

Jan. D
Purchases A/c 27,000
12 r.
To Arun’s A/c 12,000
To Varun’s A/c 15,000
(Goods purchased on credit)

Jan. D
Arun’s A/c 12,000
13 r.
To Cash A/c 11,400
To Discount Received A/c 600
(Cash paid to Arun in full
settlement)

Jan. D
Ghanshyam’s A/c 6,000
14 r.
To Cash A/c 6,000
(Cash paid to Ghanshyam)

Jan. D
Cash A/c 7,500
16 r.
D
Discount Allowed A/c 100
r.
To Lal Chand’s A/c 7,600
(Cash received)

Jan. D
Scooter A/c 18,000
17 r.
To Cash A/c 18,000
(Scooter purchased)

Jan. D
Cash A/c 20,000
20 r.
To Sales A/c 20,000
(Goods sold for cash)

Jan. D
Cash A/c 4,850
22 r.
D
Discount Allowed A/c 150
r.
To Gopal Seth’s A/c 5,000
(Cash received)

Jan. D
Wages A/c 7,000
27 r.
D
Salaries A/c 3,000
r.
To Cash A/c 10,000
(Expenses paid)

Jan. D
Drawings A/c 3,500
28 r.
To Purchases A/c 2,000
To Cash A/c 1,500
(Amount withdrawn)
Jan. D
Drawings A/c 1,600
29 r.
To Cash A/c 1,600
(Paid life insurance premium)
TOTAL 2,47,500 2,47,500

Cash Account
D
Cr.
r.
J. Amount ( Particula J. Amount (
Date Particulars Date
F. Rs) rs F. Rs)
2017 2017
Jan.0 Jan. Typewrite
Balance c/d 30,000 7,500
1 02 r A//c
Jan.0 Jan. Arun’s
Sales A/c 19,000 11,400
4 13 A/c
Jan.0 Jan. Ghanshya
Lal Chand’s A/c 7,500 6,000
6 14 m’s A/c
Jan.2 Jan. Scooter
Sales A/c 20,000 18,000
0 17 A/c
Jan.2 Jan. Wages
Gopal Seth’s A/c 4,850 7,000
6 27 A/c
Jan. Salaries
3,000
27 A/c
Jan. Drawings
1,500
28 A/c
Jan. Drawings
1,600
29 A/c
Jan. Balance
25,350
31 c/d
81,350 81,350
2017
Feb.0
Balance b/d 25,350
1

Stock Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.0 Balance Jan.3 Balance
36,000 36,000
1 b/d 1 c/d
36,000 36,000
2017
Feb.0 Balance
36,000
1 b/d

Lal Chand’s A/c

Dr
Cr.
.
 Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.0 Balance Jan.0
7,600 Cash A/c 7,500
1 b/d 6
Discount
100
Allowed
7,600 7,600

Mukesh Khanna’s A/c

Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.0 Balance Jan.3 Balance
16,200 16,200
1 b/d 1 c/d
16,200 16,200
2017
Jan.0 Balance
16,200
1 b/d

Furniture Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.0 Balance Jan.3 Balance
8,000 8,000
1 b/d 1 c/d
8,000 8,000
2017
Feb.0 Balance
8,000
1 b/d

Ghanshyam’s A/c
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.1 Jan.0 Balance
Cash A/c 6,000 6,000
4 1 b/d
6,000 6,000

Vinod’s A/c
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.3 Balance Jan.0 Balance
8,000 8,000
1 c/d 1 b/d
8,000 8,000
2017
Feb.0 Balance
8,000
1 b/d

Capital Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.3 Balance Jan.0 Balance
83,800 83,800
1 c/d 1 b/d
83,800 83,800
2017
Feb.0 Balance
83,800
1 b/d

Office Equipment Account

Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.0 Jan.3 Balance
Cash A/c 7,500 7,500
2 1 c/d
7,500 7,500
2017
Feb.0 Balance
7,500
1 b/d

Discount Allowed Account

D
Cr.
r.
J. Amount ( Particul J. Amount (
Date Particulars Date
F. Rs) ars F. Rs)
2017 2017
Jan.0 Jan. Balance
Sales A/c 1,000 1,250
4 31 c/d
Jan.1
Lal Chand’s A/c 100
6
Jan.2
Gopal Seth’s A/c 150
2
1,250 1,250
2017
Feb.0
Balance b/d 1,250
1
 Sales Account
Dr
Cr.
.
Particul J. Amount ( J. Amount (
Date Date Particulars
ars F. Rs) F. Rs)
2017 2017
Jan.3 Balance Jan.
50,000 Cash A/c 19,000
1 c/d 04
Jan. Discount Allowed
1,000
04 A/c
Jan.
Gopal Seth’s A/c 10,000
06
Jan.
Cash A/c 20,000
20
50,000 50,000
2017
Feb.0
Balance b/d 50,000
1

Gopal Seth’s A/c

Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Sales
Jan.0 Jan.0
Sales A/c 10,000 Return 1,500
6 8
A/c
Jan.2
Cash A/c 4,850
2
Jan.2 Discount
150
2 Allowed
Jan.3 Balance
3,500
1 c/d
10,000 10,000
2017
Feb.0 Balance
3,500
1 b/d

Sales Return Account

D
Cr.
r.
J. Amount ( Particul J. Amount (
Date Particulars Date
F. Rs) ars F. Rs)
2017 2017
Jan.0 Jan. Balance
Gopal Seth’s A/c 1,500 1,500
8 31 c/d
1,500 1,500
2017
Feb.0
Balance b/d 1,500
1
 Purchases Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.1 Jan.2 Drawings
Arun’s A/c 12,000 2,000
2 8 A/c
Varun’s Jan.3 Balance
15,000 25,000
A/c 1 c/d
27,000 27,000
2017
Feb.0 Balance
25,000
1 b/d

Arun’s A/c
D
Cr.
r.
J. Amount ( Particul J. Amount (
Date Particulars Date
F. Rs) ars F. Rs)
2017 2017
Jan.1 Jan. Purchas
Cash A/c 11,400 12,000
3 12 es A/c
Jan.1 Discount Received
600
3 A/c
12,000 12,000

Varun’s A/c
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.3 Balance Jan.1 Purchases
15,000 15,000
1 c/d 2 A/c
15,000 15,000
2017
Feb. Balance
15,000
01 b/d

Discount Received Account

D
Cr.
r.
J. Amount J. Amount
Date Particulars Date Particulars
F. (Rs) F. (Rs)
2017 2017
Jan. Jan.1
Balance c/d 600 Arun’s A/c 600
31 3
600 600
2017
Feb.0
Balance b/d 600
1
 Scooter Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.1 Jan.3 Balance
Cash A/c 18,000 18,000
7 1 c/d
18,000 18,000
2017
Feb.0 Balance
18,000
1 b/d

Wages Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.2 Jan.3 Balance
Cash A/c 7,000 7,000
7 1 c/d
7,000 7,000
2017
Feb.0 Balance
7,000
1 b/d

Salaries Account
Dr
Cr.
.
Particular J.F Amount (R Particular J.F Amount (Rs
Date Date
s . s) s . )
2017 2017
Jan.2 Jan.3 Balance
Cash A/c 3,000 3,000
7 1 c/d
3,000 3,000
2017
Feb.0 Balance
3,000
1 b/d

Drawings Account
D
Cr.
r.
J. Amount Dat J. Amount
Date Particulars Particulars
F. (Rs) e F. (Rs)
201
2017
7
Jan. Jan.
Purchases A/c 2,000 Balance c/d 5,100
28 31
Jan.
Cash A/c 1,500
28
Jan.
Cash A/c 1,600
29
5,100 5,100
2017
Feb.
Balance b/d 5,100
01