KS Academy Cash Book

CA Foundation M23 – Cash book problems

1. Enter the following transactions in Cash Book with Discount and Bank Columns. Cheques are
first treated as cash receipt.

2006 Rs.
Jan.1 Chandrika commences business with Cash 20,000
"3 He paid into Current A/c 19,000
"4 He received cheque from Kirti & Co. on account 600
"7 He pays in bank Kirty & Co's cheque 600
"10 He pays Rattan & Co. by cheque and is allowed discount Rs. 20 330
"12 Tripathi & Co pays into his Bank A/c 475
"15 He receives cheque from Warshi and allows him discount Rs. 35 450
"20 He receives cash Rs. 75 and cheque Rs. 100 for cash sale
"25 He pays into Bank, including cheques received on 15th and 20th 1,000
"27 He pays by cheque for cash purchase 275
"30 He pays sundry expenses in cash 50

2. Prepare three column cash book in the books of Thiru Durairaj.

2017 Rs.

March
Cash in hand 12,000
1
Cash at bank 15,000
2 Cash paid into bank 11,000
Goods sold Rs. 18,500. Half of it is received in cash and half of it is received
3.
by cheque which is immediately deposited in the bank
4 Sold on credit to Jayaraj for 7,000
8 Jayaraj sent a cheque in full settlement 6,900
12 Jayaraj’s cheque was sent to bank

14 Bought goods from Iqbal and issued a cheque to him immediately 8,500

15 Bought goods from Murali on credit 4,000

Received a cheque from Kannappan in full settlement of his account of Rs.
19 1,975
2,000

20 Drew cash Rs. 3,000 and by cheque Rs. 5,000 for personal use

25 Paid Vinod by cheque in full settlement of his account of Rs. 2,000 1,850

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3. During May 2016, the KSA Trading Company made the following transactions:

May 01 Cash balance Rs.2,200, bank overdraft Rs.365.

Paid J & Co. by cheque Rs.1,200, discount received amounting to
May 03
Rs.15.
Received from A & Co. a cheque for Rs.980, discount allowed to them
May 05
Rs.20.
May 07 Deposited into bank the check received from A & Co. on May 05.
May 10 Purchased stationery for cash, Rs.150.
May 15 Purchased merchandise for cash, Rs.1,300.
May 15 Cash sales for the first half of the month, Rs.2,350.
May 16 Deposited into bank Rs.1,600.
May 18 Cash withdrawn from bank for personal expenses Rs.150.
May 19 Issued a cheque for merchandise purchased, Rs.1,650.
May 21 Drew cash from bank for office use, Rs.650.
May 24 Received a cheque from S & Sons and deposited it into bank, Rs.1,560.
May 25 Paid a cheque to Ali Inc. for Rs.400 and received a discount of Rs.15.
May 27 Purchased furniture in cash for office use, Rs.390.
May 29 Paid office rent by cheque, Rs.450.
May 30 Cash sales for the second half of the month, Rs.4,300.
May 31 Paid salaries by check, Rs.1,760.
May 31 Withdrew cash from bank for office use, Rs.1,470.

Required: Record the above transactions in a three column cash book.

4. Enter the following transaction in Cash Bank with Discount and Bank columns. Cheques are first
treated as cash receipts –

2020 Rs.
Mar-01 Cash in Hand 15,000
Overdraft in Bank 500
2 Cash Sales 3,000
3 Paid to Sushil Bros. by cheque 3,400
Discount received 100
5 Sales through credit card 2,800
6 Received cheque from Srijan 6,200
7 Endorsed Srijan’s cheque in favour of Adit
9 Deposit into Bank 6,800

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10 Received cheque from Aviral and deposited the same into 3,600
Bank by allowing discount of Rs. 50
Adit informed that Srijan’s cheque is dishonoured. Now cash is
12 received from Srijan and amount is paid to Adit through own
cheque
15 Sales through Debit Card 3,200
24 Withdrawn from Bank 1,800
28 Paid to Sanchit by cheque 3,000
30 Bank charged 1% commission on sales through Debit/Credit Cards

5. From the following particulars in the books of Dinesh Singh prepare three column cash book.

1992 Particulars Rs
Nov-01 Cash in Hand 750
“ 1 Cash in Bank 9,700
“ 2 Cash received from baba Prasad 1,872
Discount given 28
“ 4 Salaries paid for October 1,500
“ 4 Cash Sales to Ranga rao 4,700
“ 5 Paid to veerabhadhram through cheque 475
Discount Received 25
“ 17 Cheque received from raghu ram(sent To bank) 391
“ Discount given 9
“ 19 withdrawn form bank for personal use 2,300
“ 21 Deposited in the bank 862

6. Make out three column cash book of Sri kishore Karwankar from the following Particulars
1997 Particulars Rs
Jan-01 Cash in Hand 1,000
“ 1 Cash in Bank 20,000
“ 2 Purchased goods for Cash 600
“ 4 Sold goods for Cash 2,000
“ 10 Received cash from Birajdar ( Discount allowed Rs 25) 875
“ 12 Issued Cheque to Mohan Rao (Discount Received Rs 20) 480
“ 14 Cash Deposited in bank 1,000
“ 16 Received cheque from prabakar (in full settlement of a debt of Rs. 950
1000)
“ 20 Bank collects interest on Securities 500
“ 22 Received cheque from Kulkarni, deposited in bank 1,000
“ 27 Bank returns cheque of Kulkarni as dishonoured
“ 30 Bank charges as per Pass Book 50
“ 31 Amount withdrawn from bank for office use 500
“ 31 Amount withdrawn for Personal use 1,000

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7. Prepare a Three Column Cash Book of M/s Tulsian & Co. from the following particular

Date Particulars
Jan-01 Cash in hand Rs. 50,000, Bank Overdraft Rs. 20,000.
2 Paid into bank Rs 10,000.
3 Bought goods from Hari for Rs. 200 for cash.

4 Bought goods for Rs. 2,000 paid cheque for them, discount allowed 1%.

5 Sold goods to Mohan for cash Rs. 1,175.

Received a crossed cheque from Shyam to whom goods were sold for Rs.
6 800. Discount allowed 12.5%.
7 Shyam's cheque deposited into bank.

8 Purchased an old typewriter for Rs. 200. Spent Rs. 50 on its repairs.

Bank notified that Shyam's cheque has been returned dishonoured and
9 debited the account in respect of charges Rs. 10.

10 Received a money order for Rs. 25 from Hari.

Shyam settled his account by means of a crossed cheque for Rs. 820, Rs. 20
11 being for interest charged.
12 Withdrew from bank Rs. 10,000.
18 Discounted a B/E for Rs. 1,000 at 1% through bank.
20 Honoured our own acceptance by cheque Rs. 5,000.
22 Withdrew for personal use Rs. 1,000.
24 Paid trade expenses Rs. 2,000,
25 Withdrew from bank for private expenses Rs. 1,500.
Purchased machinery from Rajiv for Rs. 5,000 and paid him by means of a
26 bank draft purchased for Rs. 5,005.
27 Issued cheque to Ram Saran for cash purchase of furniture Rs. 1,575.
28 Received a crossed cheque for commission Rs. 500 from R. & Co. and
deposited into bank.
29 Ramesh who owed us Rs. 500 became bankrupt and paid us 50 paise in the
rupee.
30 Received payment of a loan of Rs. 5,000 and deposited Rs. 3,000 out of its
into bank.
31 Paid rent to landlord Mohan' by a cheque of Rs. 220.
31 Interest allowed by bank Rs. 30.
31 Half yearly bank charges Rs. 50.

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