NATIONAL LAW UNIVERSITY ODISHA

BASIC PRINCIPLES OF ACCOUNTING

“ACCOUNTS OF A STATIONARY SHOP”

SUBMITTED BY:

ARYAN PARASHAR (2019/B.A.LL.B./033)

AVANI GARGAVA (2019/B.A.LL.B./038)

(Batch of 2024/ 3rd Semester)

SUBMITTED TO:
Mr. AB DEBASIS ROUT
 TRANSACTIONS

DATE LIST OF TRANSACTIONS

April

Mr. Sanjay, the owner, started the business with cash

1 of ₹ 20,00,000.

Loan taken from SBI bank 10,00,000.

Goods brought for cash ₹ 1,00,000.

3

Furniture bought ₹ 10,000.

5

Tables & Chairs brought ₹ 40,000.

10

Cheque received from Rakesh for goods sold ₹

13 10,000.

Sold on credit to Ramesh for ₹ 20,000.

16

Purchased notebooks ₹ 50,000, pens ₹ 60,000 on

17 credit from Mr. Madhur.
 Paid for wiring and lightening ₹ 10,000.
20

Paid for transportation ₹ 20,000.

23

Purchased CCTV worth ₹ 30,000.

May 2

Paid rent for the shop ₹ 10,000.

3

Hired a person as help, salary paid ₹ 20,000.

9

Withdrawn from capital for personal use ₹30,000.

12

Telephone expenses ₹ 5,000 and fixture expenses ₹

13 10,000 paid in cash.

Goods ₹ 10,000 returned to Mr. Madhur.

15

Cheque received from Rakesh deposited into bank.

16

Paid to Mr. Madhur from Bank.

19
 Ramesh paid 90 paisa in a rupee for his amount ₹
22 20,000.

Photocopy machine purchased ₹ 1,00,000 discount

23 received 20,000.

29
Newspaper sold ₹ 100.

Goods sold for ₹ 90,000 half in cash, half in credit to

June 5 Shlok enterprises.

Goods returned by Shlok enterprises worth ₹ 2,000.

6

Shlok enterprises paid ₹ 40,000 in full settlement.

7

Cash withdrawn from office use ₹ 30,000.

10

Purchased goods from ₹ 40,000 at 10% Trade

11 Discount and 5% Cash Discount paid at the time of
purchase.

Sold goods to Ajay for ₹ 50,000 allowing 5% cash

14 discount 10% trade discount. Half the amount was
received by cheque within time.

Additional capital introduced ₹ 10,00,000.

18
 Goods withdrawn for personal use ₹ 30,000.
21

Received cash for a bad debt within off last year ₹

25 1,000.

Goods costing ₹ 10,000 given as charity.

26

Goods distributed as advertisement to increase sales ₹

30 5,000.

July
Goods lost by fire ₹ 2,000.
1

Paid electricity expenses with ₹ 7000 month.

4

Water can expenses paid ₹ 5,000 month.

5

Earned ₹ 6,000 by sale of a digital meter.

8

Opened a bank account in Bank of Baroda of ₹

11 3,00,000.

Purchased highlighters and sketch pens from Mr.

17 Joseph worth ₹ 30,000 on credit.
 22
Mr. Joseph account was settled by assuring a cheque.

Sold a bookshop worth ₹ 5000 in cash and

24 depreciation charged 10%.

Mr. withdrawn the notebook for personal use.

25

Notebook worth ₹ 5,000 were sold in cash.

28

Purchased magazines worth ₹ 1,000 for cash.

30

Sold magazines worth ₹ 500 in cash.

31

August
Paid ₹ 2,000 for refreshments.
6

Purchased adhesives and gums worth ₹ 20,000 in

7 cash.

Sold adhesives worth for ₹ 23,000 in cash.

9

Invested in non-current investment worth ₹ 5,00,000.

 12

Interest on investment received worth ₹ 5,00,000.

15

Deposited cash ₹ 2,00,000 in account of business.

19

Sold notebooks, pens, covers, to Ms. Avinash Ltd

20 worth ₹ 40,000

Paid ₹ 10,000 in cash for repairing expenses.

21

Purchased stapler and stapler pins worth ₹ 10,000

26 from Mr. Suresh.

A cheque was issued to Mr. Suresh for stapler and

31 stapler pins.

September
Depreciation on furniture charged ₹ 3,000.
4

Paid ₹ 4,000 for cleaning charges.

5

Goods ₹ 1,00,000 were sold for cash.

9

Goods ₹ 1,50,000 were sold on credit to Mr. Tanmay.

 14

Mr. Tanmay paid the amount by cheque.

21

Purchased printer for ₹10,000.

22

Depreciation charged on photocopy machine ₹1,000

27

October
Journals worth ₹ 10,000 were sold for cash.
3

Purchased diaries for ₹ 20,000.

4

Diaries sold for ₹ 25,000.

10

Purchased stamps and inks worth ₹ 40,000.

11

Sold photocopies worth ₹ 300.

18

Bad debt written off ₹ 500.

21

Bad debt recovered ₹ 300.

 23

Goods given as free sample ₹ 20,000.

26

Goods sold to Mr. Manish on credit worth ₹ 60,000.

27

Goods returned to Mr. Manish worth ₹ 5,000.

30

November
Mr. Manish paid half of amount in cash and half by
2 cheque.

Expenses paid for repairing photocopy machines ₹

7 5,000.

Purchased ink ribbons for printer ₹ 5,000.

8

Sold notebooks worth ₹ 60,000 in cash.

11

Opened a fixed deposit in bank for ₹ 1,00,000.

12

Interest on fixed deposits received ₹ 10,000.

15
 Profit on sale of printer ₹2,000 total selling price ₹
18 12,000.

Purchased on sale of printer ₹ 2,000 total selling price

22 ₹ 12,000.

Purchased binders worth ₹40,000.

23

Sold binders for ₹ 50,000.

28

December
Purchased goods in bulk for ₹ 1,00,000 discount
1
received @ 10%.

Goods sold of ₹50,000 discount @ 5%.

2

Brought printer for ₹ 7,500.

4

Purchased ink ribbons for printer worth ₹ 1,000.

10

Money withdrawn from bank for personal use ₹

13 3,000.

Received rent from tenants ₹ 30,000.

 17

Sold goods worth ₹ 20,000 on credit to Mr. Shailesh.

22

Mr. Shailesh was declared insolvent and paid ₹

27 15,000.

January
Bank charges worth ₹ 2,000.
3

Notebooks costing ₹ 4,000 were lost by fire.

6

Sold notebooks ₹ 70,000 by amount received in the

9 bank.

Expenses on printer repair ₹1,000.

10

Goods ₹ 20,000 sold to Mr. Sanjeev on credit.

15

Mr. Sanjeev paid by cash.

22

Purchased highlighters worth ₹ 10,000 in cash.

28
February
Purchased notebooks in credit from Mr. Ram ₹
1 60,000.

Paid to Mr. Ram in cheque.

5

Interest on Fixed deposit received ₹ 10,000.

9
 JOURNAL ENTRY
JOURNAL OF SHIVA TRADERS

Date Particulars L.F Debit ₹ Credit ₹

April 1 Cash A/c………………. Dr 20,00,000 -

To capital A/c - 20,00,000

3 Bank A/c….…….……... Dr 10,00,000 -

To SBI loan A/c - 10,00,000

5 Purchase A/c…………… Dr 10,000 -

To cash A/c - 10,000

10 Furniture A/c…………… Dr 30,000 -

To cash A/c - 30,000

13 Table & chair A/c………. Dr 40,000 -

To cash A/c - 40,000

 16 Rakesh A/c……………... Dr 10,000 -

To sales A/c - 10,000

17 Cheques in hand A/c……. Dr 10,000 -

To Rakesh A/c - 10,000

20 Ramesh A/c……………. Dr 20,000 -

To sales A/c - 20,000

23 Notebooks A/c………… Dr 50,000 -

Pens A/c…………….…. Dr 60,000 -

To Me. Madhur A/c - 1,l0,000

May 2 Wiring & lightening exp. A/c Dr 10,000 -

- 10,000
To cash A/c

3 Transportation exp. A/c…Dr 20,000 -

To cash A/c - 20,000

9 CCTV A/c………….... Dr 30,000 -

 To cash A/c - 30,000

12 Rent paid A/c………... Dr 1,20,000 -

To cash A/c - 1,20,000

13 Salary A/c……………... Dr 2,40,000 -

To cash A/c - 2,40,000

15 Drawing A/c…….…...…Dr 30,000 -

To cash A/c - 30,000

16 Fixture exp. A/c…….… Dr 10,000 -

To cash A/c - 10,000

19 Telephone exp. A/c….... Dr 5,000 -

To cash A/c - 5,000

22 Mr. Madhur A/c………. Dr 10,000 -

To pens A/c - 10,000

 23 Bank A/c……………… Dr 10,000 -

To cheque in hand A/c - 10,000

29 Mr. Madhur A/c………. Dr 1,00,000 -

To bank A/c - 1,00,000

June 5 Cash A/c………………. Dr 18,000 -

Bad debt A/c……...…... Dr 2,000 -

To Ramesh A/c - 20,000

6 Photocopy machine A/c…… Dr 1,00,000 -

To discount received A/c - 20,000

To cash A/c Dr - 80,000

7 Cash A/c………………….Dr 100 -

To sundry received - 100

8 Cash A/c……………… Dr 45,000 -

Shlok enterprises A/c… Dr 45,000 -

To sales A/c - 90,000

10 Sales return A/c………. Dr 2,000 -

To shlok enterprise A/c - 2,000

11 Cash A/c………….…. Dr 40,000 -

Bad debt A/c………… Dr 3,000 -

To shlok ent. A/c - 43,000

14 Cash A/c……………. Dr 30,000 -

To bank A/c - 30,000

18 Purchase A/c……….. Dr 36,000 -

To cash A/c - 34,200

To discount received A/c Dr - 1800

21 Ajay A/c……………………. Dr 22,500 -

 Bank A/c…………………… Dr 21,375 -

Discount allowed A/c………. Dr 1,125 -

To sales A/c - 50,000

25 Cash A/c……………………. Dr 10,00,000 -

To capital A/c - 10,00,000

26 Drawing A/c………………… Dr 30,000 -

To purchase A/c - 30,000

30 Cash A/c……………………. Dr 1,000 -

To bad debt recovered A/c - 1,000

July 1 Charity A/c…………………. Dr 10,000 -

To purchase A/c - 10,000

4 Advertisement A/c………… Dr 5,000 -

To purchase A/c - 5,000

5 Loss by fire A/c…………… Dr 2,000 -

To purchase A/c - 2,000

-8 Electricity exp. A/c…………. Dr 84,000 -

To cash A/c - 84,000

11 Water can exp. A/c…………. Dr 60,000 -

To cash A/c - 60,000

17 Cash A/c……………………. Dr 6,000 -

To digital scale A/c - 6,000

22 Bank A/c………………….… Dr 3,00,000 -

To cash A/c - 3,00,000

24 Highlights A/c……………… Dr 15,000 -

Sketch pens A/c……………... Dr 15,000 -

To Mr. Joseph A/c - 30,000

25 Mr. Joseph A/c……………… Dr 30,000 -

To bank A/c - 30,000

 28 Cash A/c……………………. Dr 5,000 -

Depreciation A/c……………. Dr 5000 -

To book shelf A/c - 5,500

30 Drawing A/c………………… Dr 2,000 -

To notebook A/c - 2,000

31 Cash A/c……………………. Dr 5,000 -

To notebook A/c Dr - 5,000

Aug 6 Magazines A/c………………. Dr 1,000 -

To cash A/c - 1,000

7 Cash A/c……………………. Dr 500 -

To magazines A/c - 500

9 Refreshment exp. A/c……… Dr 2,000 -

To cash A/c - 2,000

12 Adhesives & gums A/c……... Dr 20,000 -

To cash A/c - 20,000

15 Cash A/c………………...….. Dr 23,000 -

To adhesives A/c - 23,000

19 Noncurrent investment A/c… Dr 5,00,000 -

To bank A/c - 5,00,000

20 Bank A/c……………………. Dr 50,000 -

To interest on investment A/c - 50,000

21 Bank A/c……………………. Dr 2,00,000 -

To cash A/c Dr - 2,00,000

26 Notebooks A/c……………… Dr 20,000 -

Pens A/c……………………. Dr 20,000 -

To Mr. Avinash Ltd. - 40,000

31 Repairing exp. A/c…………. Dr 10,000 -

 To cash A/c - 10,000

Sept. 4 Stapler and pins A/c…….…. Dr 10,000 -

To Mr. Suresh A/c - 10,000

5 Mr. Suresh A/c ……………. Dr 10,000 -

To Bank A/c - 10,000

9 Depreciation A/c…………. Dr 3,000 -

To furniture A/c - 3,000

14 Depreciation A/c……………... Dr 4,000 -

To tables and chairs, A/c - 4,000

21 Cleaning exp. A/c ……………Dr 4,000 -

To cash A/c - 4,000

22 Cash A/c……………………... Dr 1,00,000 -

To sales A/c - 1,00,000

 27 Mr. Tanmay A/c…………….... Dr 1,50,000 -

To sales A/c - 1,50,000

October 3 Bank A/c………………….…. Dr 1,50,000 -

To Mr. Tanmay A/c - 1,50,000

4 Printer A/c…………………… Dr 10,000 -

To cash A/c - 10,000

10 Depreciation A/c……………. Dr 1,000 -

To photocopy machine A/c - 1,000

11 Cash A/c……………………. Dr 10,000 -

To sales A/c - 10,000

18 Diaries A/c ………………….Dr 20,000 -

To cash A/c - 20,000

21 Cash A/c………………….... Dr 25,000 -

 To diaries A/c - 25,000

23 Stamps &inks A/c……….… Dr 40,000 -

To cash A/c - 40,000

26 Cash A/c……………………. Dr 300 -

To sales A/c - 300

27 Bad debts A/c………………. Dr 500 -

To cash A/c - 500

30 Cash A/c …………………...Dr 300 -

To bad debt recovered A/c - 300

Nov. 2 Sample A/c……………….. Dr v -

To purchase A/c 20,000

7 Mr. Manish A/c…………….. Dr 60,000 -

To sales A/c - 60,000

8 Sales return A/c……………. Dr 5,000 -

 To Mr. Manish A/c - 5,000

11 Cash A/c……………………. Dr 22,500 -

Bank A/c…………………… Dr 22,500 -

To Mr. Manish A/c - 55,000

12 Repair A/c………………….. Dr 5,000 -

To cash A/c - 5,000

15 Ink ribbons A/c………………. Dr 5,000 -

To cash A/c - 5,000

18 Cash A/c……………………… Dr 60,000 -

To notebook A/c - 60,000

22 FD A/c……………………… Dr 1,00,000 -

To bank A/c - 1,00,000

23 FD A/c………………………. Dr 10,000 -

To interest on FD A/c - 10,000

 28 Binders A/c…………………. Dr 40,000 -

To cash A/c - 40,000

December Cash A/c……………………. Dr 12,000 -

1
To printer A/c - 12,000

2 Cash A/c……………………. Dr 50,000 -

To binder’s A/c - 50,000

4 Purchase A/c………………... Dr 1,00,000 -

discount received A/c………..Dr - 10,000

To cash A/c - 90,000

10 Cash A/c……………….….... Dr 47,500 -

Discount allowed A/c………. Dr 2,500 -

To sales A/c - 50,000

13 Printer A/c…………………. Dr 7,500 -

To cash A/c - 7,500

17 Ink ribbons A/c……………. Dr 1,000 -

 To cash A/c - 1,000

22 Drawing A/c………………. Dr 3,000 -

To bank A/c - 3,000

27 Cash A/c……………….…. Dr 30,000 -

To rent received A/c - 30,000

Jan 3 Mr Shailaish A/c…………… Dr 20,000 -

To sales A/c - 20,000

6 Cash A/c……………………. Dr 15,000 -

Bad debts A/c……………….. Dr 5,000 -

To Shailaish A/c - 20,000

9 Loss by fire A/c…………….. Dr 4,000 -

To notebooks A/c - 4,000

10 Bank charges A/c…………… Dr 1,000 -

To bank A/c - 1,000

 15 Bank A/c……………………Dr 70,000 -

To notebooks A/c Dr - 70,000

22 Repair A/c………………….. Dr 1,000 -

To cash A/c - 1,000

28 Mr. Sanjeev A/c…………… Dr 20,000 -

To sales A/c - 20,000

Feb 1 Cash A/c………………….. Dr 20,000 -

To Mr. Sanjeev A/c - 20,000

Highlighters A/c………….. Dr 10,000 -

2 To cash A/c - 10,000

Notebooks A/c……………. Dr 60,000 -

5 To Mr. Ram A/c - 60,000

Mr. Ram A/c……………… Dr 60,000 -

6 To bank A/c - 60,000

 FD A/c……………………. Dr 10,000 -

9 To interest on FD A/c - 10,000

 FURNITURE A/c

Date Particulars JF Dr ₹ Date Particulars J Cr ₹

F

1 To cash A/c 30,000 57 By Depreciation A/c 3,000

31st By balance c/d 27,000

March

30,000 30,000

TABLES AND CHAIRS A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

5 To cash A/c 40,000 58 By Depreciation A/c 4,000

31st By balance c/d 36,000

 March

40,000 40,000

RAKESH’S A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

6 To sales A/c 10,000 7 By Check in hand A/c 10,000

10,000 10,000

RAMESH’S A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

8 To sales A/c 20,000 21 By Cash A/c 18,000

 By Bad debt A/c 2000

20,000 20,000

CCTV A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

8 To cash A/c 30,000 31st By balance c/d 30,000

March

30,000 30,000

RENT PAID A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

13 To cash A/c 1,20,000 31st By balance c/d 1,20,000

 March

1,20,000 1,20,000
 SALARY A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

14 To cash A/c 2,40,000 31st By balance c/d 2,40,000

March

2,40,000 2,40,000

PHOTOCOPY MACHINE A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

22 To cash A/c 80,000 64 By Depreciation A/c 1,000

31st By balance c/d 79,000

Marc
h
 80,000 80,000

PRINTER A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

63 To cash A/c 10,000 82 By Cash A/c 1,000

To cash A/c 7,500

31st By balance c/d 5,500

March

17,500 17,500

INK RIBBON A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

77 To cash A/c 5,000 31st By balance c/d 6,000

March
87 1,000

6,000 6,000

FD A/c

Date Particulars JF Dr ₹ Date Particulars JF Cr ₹

79 To cash A/c 10,000 82 By Cash A/c 1,000

8 To cash A/c 7,500

31st By balance c/d 5,500

March

17,500 17,500