ACCOUNTANCY HOLIDAY HOMEWORK

On 1/4/19 Mr. Rishav Somani of Kolkata, started his electrical business by introduction
of cash 10 lakh rupees. Following transactions took place during the accounting year
2019-20. He gave a name for his shop- “LIGHT&MORE”.
02/4/19- Opened a bank A/c with 8.40 lakh rupees.
10/4/19- Paid shop rent @ 4000 rupees per month- 56000 rupees
15/4/19- Bought a computer and a printer at a cost of 50000 by cheque.
16/4/19- Bought stationery for cash 2000
20/4/19- Purchased goods by cheque 2,56,000 and received trade discount 6000
22/4/19- Paid carriage on purchase- 14,000
02/5/19- Bought shop fittings at a cost of 60,000 by cheque from Décor India Ltd.
02/5/19- Used electrical fittings from the stock for the decoration of the shop- 30,000
05/5/19- Purchased a delivery van for 1,60,000 by cheque.
15/6/19- Purchased goods for 2,00,000 from Supreme & Co, Delhi on credit
28/6/19- Returned goods to Supreme & Co, Delhi worth 10,000
30/6/19- Paid cash to Supreme & Co, Delhi 40,000 on account.
02/7/19- Sold goods to Ram & Co. 4,00,000
20/7/19- Goods worth 20,000 were returned by Ram & Co.
01/8/19- Received cash from Ram & Co. 1,80,000 as a part payment.
14/8/19- Sold goods for cash 1,80,000 at 10% trade discount, from which 1,00,000 was
deposited into bank.
30/9/19- Mr. Somani paid 20,000 for his own life insurance premium.
11/10/19- Sold goods to Merlin Associates 3,00,000
31/10/19- Received 2,93,000 from Merlin Associates in full settlement of his debt by a
draft.
15/11/19- Cash withdrawn from bank 80,000
01/12/19- Loan taken from Punjab National Bank 1,00,000
01/01/20- Paid for a local advertisement 24,000
01/02/20- Made a fixed deposit with federal bank 50,000
15/02/20- Proprietor withdrew 10,000 for personal use
01/03/20- Part of the loan taken from Punjab National Bank repaid- 20,000
28/03/20- Interest on loan debited by bank 2,375
31/03/20- Interest received from bank- 474
31/03/20- i) Payment of staff salaries- 1,20,000
ii) Electric bill payment- 18,000
iii) Paid telephone bill 6,000
31/03/20- Received commission 5,000
JOURNAL ENTRY OF RISHAV SOMANI
DATE PARTICULARS LF AMOUNT AMOUNT
DR. CR.
1/4/19 Cash Account Dr. 10,00,000
To Capital Account 10,00,000
(Started business with 10 lakh cash)
2/4/19 Bank Account Dr. 8,40,000
To Cash Account 8,40,000
(Opened a bank account with 8.40 lakh)
10/4/19 Rent Account Dr. 48,000
Prepaid Rent Account Dr. 8,000
To Cash Account 56,000
(Paid rent and prepaid rent for cash)
15/4/19 Office Equipment Account Dr. 50,000
To Bank 50,000
(Bought office equipments by cheque)
16/4/19 Stationery Account Dr. 2,000
To Cash 2,000
(Bought stationery for cash)
20/4/19 Purchases Account Dr. 2,50,000
To Bank 2,50,000
(Bought goods by cheque at trade discount of 6,000)
22/4/19 Carriage Inwards Account Dr. 14,000
To Cash 14,000
(Paid carriage inwards for cash)
2/5/19 Lighting & fittings Account Dr. 60,000
To Bank 60,000
(Bought fittings by cheque)
2/5/19 Furniture & fitting Account Dr. 30,000
To Purchases 30,000
(Used the fittings for decoration of the shop)
5/5/19 Delivery Van Account Dr. 1,60,000
To Bank 1,60,000
(Purchased a delivery van by cheque)
15/6/19 Purchases Account Dr. 2,00,000
To Supreme & Co 2,00,000
(Purchased goods from Supreme & Co on credit)
28/6/19 Supreme & Co Account Dr. 10,000
To Purchases Return 10,000
(Returned goods to Supreme & Co)
30/6/19 Supreme & Co Account Dr. 40,000
To Cash 40,000
(Paid cash to Supreme & Co)
 C/F 27,12,000 27,12,000
B/F 27,12,000 27,12,000
2/7/19 Ram & Co Account Dr. 4,00,000
To Sales 4,00,000
(Sold goods to Ram & Co)
20/7/19 Sales Return Account Dr. 20,000
To Ram & Co 20,000
(Some of the goods were returned by Ram & Co)
1/8/19 Cash Account Dr. 1,80,000
To Ram & Co 1,80,000
(Received cash from Ram & Co)
14/8/19 i) Cash Account Dr. 1,00,000
To Sales 1,00,000
(Sold goods for cash at 10% trade discount)
ii) Bank Account Dr. 62,000
To Cash 62,000
(One part of the cash is deposited into bank)
30/9/19 Drawings Account Dr. 20,000
To Cash Account 20,000
(Proprietor withdrew cash for life insurance premium)
11/10/19 Merlin Associates Account Dr. 3,00,000
To Sales Account 3,00,000
(Sold goods to Merlin Associates)
31/10/19 Cash Account Dr. 2,93,000
Discount Allowed Account Dr. 7,000
To Merlin Associates 3,00,000
(Cash received in full settlement of Merlin Associates)
5/11/19 Cash Account Dr. 80,000
To Bank Account 80,000
(Cash withdrawn from bank)
1/12/19 Bank Account Dr. 1,00,000
To Loan from PNB Bank 1,00,000
(Loan taken from PNB bank)
1/01/20 Advertisement Account Dr. 24,000
To Cash Account 24,000
(Paid cash for advertisement)
1/02/20 Fixed Deposit Account Dr. 50,000
To Cash Account 50,000
(Made fixed deposit with the bank)
15/02/20 Drawings Account Dr. 10,000
To Cash Account 10,000
(Proprietor withdrew cash)
B/F 43,58,000 43,58,000
 C/F 43,58,000 43,58,000
1/03/20 Loan from PNB Account Dr. 20,000
To Cash Account 20,000
(Part of the loan was repaid)
31/03/20 Bank Interest Account Dr. 2,375
To Bank Account 2,375
(Interest on loan was debited)
31/03/20 Bank Account Dr. 474
To Bank Interest Received Account 474
(Received interest from bank)
31/03/20 Salary Account Dr. 12,000
Electricity Account Dr. 18,000
Telephone Charges Account Dr. 6,000
To Cash Account 36,000
(Expenses paid)
31/03/20 Cash Account Dr. 5,000
To Commission Received Account 5,000
(Received commission)
TOTAL 44,21,849 44,21,849
LEDGER
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/20 To Balance c/d 10,00,000 1/4/19 By Cash A/C 10,00,000
10,00,000 10,00,000
By Balance b/d 10,00,000
CAPITAL A/C
CASH A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
1/4/19 To Capital A/C 10,00,000 2/4/19 By Bank A/C 8,40,000
1/8/19 To Ram & Co 1,80,000 10/4/19 By Rent A/C 48,000
14/8/19 To Sales 1,00,000 10/4/19 By Prepaid Rent A/c 8,000
31/10/19 To Merlin 3,00,000 16/4/19 By Stationery A/C 2,000
Associates
5/11/19 To Bank 80,000 22/4/19 By Carriage Inwards 14,000
To Commission 5,000 30/6/19 By Supreme & Co 40,000
Received
14/8/19 By Bank A/C 62,000
30/9/19 By Drawings A/C 20,000
31/10/19 By Discount Allowed 7,000
1/1/20 By Advertisement 24,000
1/2/20 By Fixed Deposit 50,000
15/2/20 By Drawings A/C 10,000
1/3/20 By Loan A/C 20,000
31/3/20 By Salary A/C 12,000
31/3/20 By Electricity A/C 18,000
31/3/20 By Telephone 6,000
Charges
16,65,000 11,81,000
31/3/21 By Balance c/d 4,84,000
16,65,000 16,65,000
To Balance b/d 4,84,000

BANK A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
2/4/19 To Cash 8,40,000 15/4/19 By Office Equipment 50,000
14/8/19 To Cash 62,000 20/4/19 By Purchases A/C 2,50,000
1/12/19 To Loan 1,00,000 2/5/19 By Lighting A/C 60,000
31/3/20 To Bank Interest 474 5/5/19 By Delivery Van 1,60,000
Received
5/11/19 By Cash A/C 80,000
31/3/20 By Bank Interest 2,375
10,02,474 6,02,375
31/3/20 By Balance c/d 4,00,099
To Balance b/d 4,00,099
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
10/4/1 To Cash 48,000 31/3/2 By Balance c/d 48,000
9 0
48,000 48,000
To Balance b/d 48,000
RENT A/C

PREPAID RENT A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
10/4/1 To Cash 8,000 31/3/2 By Balance c/d 8,000
9 0
8,000 8,000
To Balance b/d 8,000

OFFICE EQUIPMENT A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
15/4/19 To Bank 50,000 31/3/2 By Balance c/d 50,000
0
50,000 50,000
To Balance b/d 50,000

STATIONERY A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
16/4/1 To Cash 2,000 2/5/19 By Furniture A/C 30,000
9
31/3/2 To Balance c/d 28,000
0
30,000 30,000
By Balance b/d 28,000

PURCHASE A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
20/4/19 To Bank 2,50,000
15/6/19 To Supreme & Co 2,00,000 31/3/2 By Balance c/d 4,50,000
0
4,50,000 4,50,000
To Balance b/d 4,50,000
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
22/4/19 To Cash 14,000 31/3/2 By Balance c/d 14,000
0
14,000 14,000
 To Balance b/d 14,000

CARRIAGE INWARDS A/C

LIGHTING & FITTINGS A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
2/5/19 To Bank 60,000 31/3/20 By Balance c/d 60,000
60,000 60,000
To Balance b/d 60,000

FURNITURE & FITTINGS A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
2/5/19 To Purchases 30,000 31/3/20 By Balance c/d 30,000
30,000 30,000
To Balance b/d 30,000

DELIVERY VAN A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
5/5/19 To Bank 1,60,000 31/3/20 By Balance c/d 1,60,000
1,60,000 1,60,000
To Balance b/d 1,60,000
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
28/6/1 To Purchase Return 10,000 15/6/1 By Purchases A/C 2,00,000
9 9
30/6/1 To Cash 40,000
9
31/3/2 To Balance c/d 1,50,000
0
2,00,000 2,00,000
By Balance b/d 1,50,000

SUPREME & CO

PURCHASE RETURN A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Balance c/d 10,000 28/6/1 By Supreme & Co 10,000
0 9
10,000 10,000
By Balance b/d 10,000

RAM & CO A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
2/7/19 To Sales 4,00,000 20/7/19 By Sales Return 20,000
1/8/19 By Cash 1,80,000
31/3/20 By Balance c/d 2,00,000
4,00,000 4,00,000
To Balance b/d 2,00,000

SALES A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Balance c/d 8,00,000 2/7/19 By Ram & Co 4,00,000
0
14/8/19 By Cash 1,00,000
11/10/19 By Merlin Associate 3,00,000
8,00,000 8,00,000
To Balance b/d 8,00,000

SALES RETURN A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
20/7/19 To Ram & Co 20,000 31/3/2 By Balance c/d 20,000
0
20,000 20,000
To Balance b/d 20,000

DRAWINGS A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
30/9/19 To Cash 20,000
15/2/20 To Cash 10,000 31/3/2 By Balance c/d 30,000
0
30,000 30,000
To Balance b/d 30,000

MERLIN ASSOCIATES A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
11/10/1 To Sales 3,00,000 31/10/19 By Cash A/C 2,93,000
9
31/10/19 By Discount 7,000
Allowed
3,00,000 3,00,000

DISCOUNT ALLOWED A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/10/19 To Merlin Associate 7,000 31/3/20 By Balance c/d 7,000
7,000 7,000
To Balance b/d 7,000

ADVERTISMENT A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
1/1/20 To Cash 24,000 31/3/20 By Balance c/d 24,000
24,000 24,000
To Balance b/d 24,000

FIXED DEPOSIT A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
1/2/20 To Cash 50,000 31/3/20 By Balance c/d 50,000
50,000 50,000
To Balance b/d 50,000

LOAN FROM PNB A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
1/3/20 To Cash 20,000 1/12/1 By Bank 1,00,000
9
31/3/2 To Balance c/d 80,000
0
1,00,000 1,00,000
By Balance b/d 80,000
 BANK INTEREST A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Bank 2,375 31/3/2 By Balance c/d 2,375
0 0
2,375 2,375
To Balance b/d 2,375

BANK INTEREST RECEIVED A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Balance c/d 474 31/3/2 By Bank 474
0 0
474 474
By Balance b/d 474

SALARY A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Cash 12,000 31/3/2 By Balance c/d 12,000
0 0
12,000 12,000
To Balance b/d 12,000

ELECTRICITY A/C
DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Cash 18,000 31/3/2 By Balance c/d 18,000
0 0
18,000 18,000
To Balance b/d 18,000

TELEPHONE CHARGES A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Cash 6,000 31/3/2 By Balance c/d 6,000
0 0
6,000 6,000
To Balance b/d 6,000

COMMISSION RECEIVED A/C

DATE PARTICULARS JF AMOUNT DATE PARTICULARS JF AMOUNT
31/3/2 To Balance c/d 5,000 31/3/2 By Cash 5,000
0 0
5,000 5,000
By Balance b/d 5,000