Spring 2023

Financial Accounting (MGT101) Assignment # 01

Name: Sajid I’d: mc220200369

QUESTION

ABC & Sons showed balances of cash in hand Rs. 400,000 and Cash at bank Rs. 350,000
as on 1st April 2023. Some transactions of ABC & Sons for the month of April 2023 are
given below.
Required:

1. Based on the above transactions, calculate the amount/balance of the following

accounts at the end of April 2023.

A. Cash in hand

B. Cash at bank

SOLUTIONS:

AS ON 1ST APRIL TOTAL CASH IN HAND = 400,000 AND CASH AT BANK

350,000

LET’S CALCULATE THE AMONUT / BLANCE AFTER EACH

TRANSECTION:

Date Transactions

2023
Good purchased from XYZ Brothers & ABC for Rs.300,000

2nd April Payment made by chque = 200,000

Remaing blance to be paid to the company=300,000-200,000=100,000
Cash in hand=400,000 (there is no chang in cash on hand becsuse payment is made
by chaque).

Cash at bank = 350,000-200,00=150,000

 4th April Goods purchased amounting to Rs. 20,000 on cash basis.
Cash in hand = 400,000-20,000=380,000
Cash at bank =150,000 (no change )

9th April Remaining amount paid in cash by ABC & Sons to XYZ Brothers in order to

settle the due amount of 2nd April 2023.

Cash in hand =380,000-100,000=280,000

Cash at bank =150,000 ( no change)

14th April Sold goods to Saleem Brothers for Rs. 180,000 on credit basis.
Cash in hand :280,000 ( no change)
Cash at bank :150,000 ( no change)

20th April Sold goods for Rs. 80,000 on cash basis.

Cash in hand :280,000+80,000=360,000
Cash in hand : 150,000 ( no change)

24th April Merchandises purchased amounting to Rs. 40,000 from PO Store and paid

the whole amount by giving a cheque for the same amount on the same date.

Cash in hand : 360,000 ( no change)

cash at bank :150,000-40,000=110,000

 Sold merchandises to RST Brothers for Rs. 120,000 on credit basis.
26th April
Cash in hand :360,000 ( no change)
Cash at bank :110,000 ( no change)

30th April Goods purchased amounting to Rs. 75,000 from Rahim Stores on credit

basis.

Cash in hand:360,000 ( no change)

Cash at bank :110,000 ( no change)

At the end of month of April,2023 final amount / balance of the accounts are:
Cash in hand =360,000
Cash at bank=110,000
2. Based on the above transactions, prepare the Sales Journal and Purchase
Journal by following the format given below.

Sale Journal

Date Name of Debtors Rs.

14th Saleem brothers (on credit) 180,000

Apri
l,20
23
20th 80,000
Name of company not mentioned is
Apri question(on cash basis)
l ,20
23

26th
Apri RST Brothers (on credit) 120,000
l
202
3

Total 380,000
 Purchase Journal

Dat Name of Creditor Rs

e .

2nd XYZ & ABC 300,000

april
2023

4TH Not mention in question 20,000

april
2023

24th 40,000
april
PO store
2023

30th 75,000
april Rahim store
2023
Total 435,000