NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Detailed, Step-by-Step NCERT Solutions for 11 Accountancy Chapter 4 Recording of Transactions 2 Questions and Answers were solved by Expert Teachers as per NCERT (CBSE) Book guidelines covering each topic in chapter to ensure complete preparation.

Recording of Transactions 2 NCERT Solutions for Class 11 Accountancy Chapter 4

Recording of Transactions 2 Questions and Answers Class 11 Accountancy Chapter 4

Test Your Understanding – I

Select the Correct Answer :
(a) When a firm maintains a cash book, it need not maintain :
(i) Journal Proper
(ii) Purchases (journal) book
(iii) Sales (journal) book
(iv) Bank and cash account in the ledger
Answer:
(iv) Bank and cash account in the ledger

(b) Double column cash book records :
(i) All transactions
(ii) Cash and bank transactions
(iii) Only cash transactions
(iv)Only credit transactions
Answer:
(ii) Cash and bank transactions

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

(c) Goods purchased on cash are recorded in the :
(i) Purchases (journal) book
(ii) Sales (journal) book
(iii) Cash book
(iv) Purchases return (journal) book
Answer:
(iii) Cash book

(d) Cash book does not record transaction of:
(i) Cash nature
(ii) Credit nature
(iii) Cash and credit nature
(iv) None of these
Answer:
(ii) Credit nature

(e) Total of these transactions is posted in purchase account:
(i) Purchase of furniture
(ii) Cash and credit purchase
(iii) Purchases return
(iv) Purchase of stationary
Answer:
(ii) Cash and credit purchase

(f) The periodic total of sales return journal is posted to :
(i) Sales account
(ii) Goods account
(iii) Purchases return account
(iv) Sales return account
Answer:
(iv) Sales return account

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

(g) Credit balance of bank account in cash book shows :
(i) Overdraft
(ii) Cash deposited in our bank
(iii) Cash withdrawn from bank
(iv) None of these
Answer:
(i) Overdraft

(h) The periodic total of purchases return journal is posted to :
(i) Purchase account
(ii) Profitand loss account
(iii) Purchase returns account
(iv) Furniture account
Answer:
(iii) Purchase returns account

(i) Balancing of account means :
(i) Total of debit side
(ii) Total of credit side
(iii) Difference in total of debit & credit
(iv) None of these
Answer:
(iii) Difference in total of debit & credit

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Test Your Understanding – II

Question 1.
Fill in the Correct Words :
(a) Cash book is a ……………….. journal.
(b) In Journal proper, only ……………… discount is recorded.
(c) Return of goods purchased on credit to the suppliers will be entered in ……………… Journal.
(d) Assets sold on credit are entered in ………………
(e) Double column cash book records transaction relating to ……………… and ………………
(f) Total of the debit side of cash book is ……………… than the credit side.
(g) Cash book does not| record the ……………… transactions.
(h) In double column cash book ……………… transactions are also recorded.
(i) Credit balance shown by a bank column in cash book is
(j) The amount paid to the petty cashier at the beginning of a period is known as ……………… amount.
(k) In purchase book goods purchased on ……………… are recorded.
Answer:
(a) Subsidiary
(b) Cash
(c) Purchases Return
(d) Journal Proper
(e) Cash, Bank
(f) More
(g) Credit
(h) Bank
(i) Overdraft
(j) Imprest
(k) Credit

Question 2.
State whether the following statements are True or False :
(a) Journal is a book of secondary entry.
(b) One debit account and more than one credit account in a entry is called compound entry.
(c) Assets sold, on credit are entered in sales journal.
(d) Cash and credit purchases are entered in purchase journal.
(e) Cash sales are entered in sales journal.
(f) Cash book records transactions relating to receipts and payments.
(g) Ledger is a subsidiary book.
(h) Petty cash book is a book having record of big payments.
(i) Cash received is entered on the debit side of cash book.
(j) Transaction recorded both on debit and credit side of cash book is known as contra entry.
(k) Balancing of account means total of debit and credit side.
(l) Credit purchase of machine is entered in purchase journal.
Answer:
(a) False
(b) True
(c) False
(d) False
(e) False
(f) True
(g) True
(h) False
(i) True
(j) True
(k) False
(l) False

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Short Answer Type Questions

Question 1.
Briefly state how the Cash Book is both journal and a ledger.
Answer:
Practically, it is difficult to record all the transactions in only one books of prime entry.
For convenience, the journal is divided into number of subsidiary books. The cash transactions relating to
receipts and payments from journal are recorded in cash book.

The number of cash transactions in a business is generally large and, therefore, it becomes convenient to have a separate cash book, to record such transaction. Cash Book is a Special Journal. Cash transactions firstly are recorded in cash books and on the basis of such a record, ledger accounts are prepared. Therefore, the cash book is a subsidiary book. But, the cash book itself serves as the cash account and bank account.

As a matter of fact, balances are entered in the Trial Balance directly. The cash book, therefore, is part of ledger also. Hence, it is treated as the Principal Book. The cash book is, thus both a subsidiary book and a principal book i.e. Journal and Ledger both.

Question 2.
What is the purpose of Contra Entry?
Answer:
Some transactions are recorded in two-column cash book which relates to both cash and bank i.e. balance of one will decrease and other will increase due to such transactions or vice versa. Such transactions are entered on both the sides of cash book. Such entries are known as Contra Entries. The purpose of entering contra transactions is the entry of both cash and bank transaction on receipt and payment side in two situations

  • Cash is withdrawn from bank for business use, and
  • Cash is deposited into bank.

When cash is withdrawn from bank for business purpose, cash balance is increased and the bank balance is reduced. In the debit side, cash column is increased and in the credit side, bank column is reduced. In the L.F.
Column (Ledger Folio Column) the letter ‘C should be written for contra transaction. When cash is deposited into bank, it increases the bank balance and reduces the cash balance. Hence it affects the Cash and Bank columns of cash book.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 3.
What are special Purpose Books?
Answer:
Special Purpose Books: In cash book, only cash transactions are recorded, whereas non-cash transactions are recorded in other special purpose subsidiary books. The special purpose books are the following:

  • Purchase Book
  • Sales Book
  • Purchase Return Book
  • Sales Return Book
  • Bills Receivable Book
  • Bills Payable Book
  • Journal Proper

It is not necessary to prepare for every business to prepare all these special purpose books but any books out of the above may be kept by the business depending upon the usefulness.

All credit purchases of goods are recorded in purchase book in which the firm is dealing. All credit sales of goods are recorded in sales book also known as Sales Day Book, the Book to record the return of goods purchased on credit is known as Return Outward Book. Sales Return Book is used to record the.return of goods sold to customers on credit basis.

Bills Receivable Book is prepared to record to Bills of exchange drawn on debtors or customer for credit side indicating that he would pay the amount written therein in the bill of exchange on the expiry of period of bill.Bills Payable Books is a record of bills accepted by the firm from creditors.

Lastly, the journal proper is a residuary book in which only those transactions are recorded which cannot be recorded in any of the above special purpose book. Example, the purchase of machinery which is an asset will be recorded in the journal proper.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 4.
What is Petty’ Cash Book? How it is prepared?
Answer:
Petty Cash Book : In a business besides large payments, a number of small paymets, such as for conveyance, stationery, cartage, etc., have to be made. If all these payments are recorded in the cash book, it will become unwieldy. Also the main cashier will be overburdened with work.

Therefore, it is useful for firms to appoint a person as “Petty Cashier” and to entrust the task of making small payments, says, below Rs. 250, to him. Of course, he will be reimbursed for the payments made. Later, on an analysis, the respective accounts may be debited.

Petty cash books will have one column to record receipts of cash (which will be only from the main cashier) and other columns to record payments of various types. The totals of the various columns will show why payments have been made and then the relevant accounts can be debited. A specimen of petty cash books is given below:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.1
While maintaining a petty cash book, the following points should be noted:
(i) The amount fixed for petty cash should be sufficient for the likely small payments for a relatively short period, say, for a week or a fortnight or a month.
(ii) The reimbursement should be made only when the petty cashier prepares a statement showing total payments supported by vouchers, i.e., documentary evidence and should be limited to the amount of actual disbursements.
(iii) The vouchers should be filed in order.
(iv) No payment should be made without proper authorization. Also payments above a certain specified limit should be made only by the main cashier or with his consent only.
(v) The petty cashier should be allowed to receive only reimbursement.
In the petty cash book, the extreme left-hand column records receipts of total cash fora specific period. The money columns towards the right hand show total payments for various purposes. A column is usually provided for “Sundaries” to record infrequent payments. The Sundaries column is later analysed. At the end of the week or the fortnight, the petty cash book is balanced. The method of balancing is the same as for the simple cash book.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 5.
Explain the meaning of posting of Journal Entries.
Answer:
Meaning of Posting of Journal Entries : Posting is the process of transferring entries from Journal or Subsidiary’ Books to the Ledger. The following rules should be observed while posting entries in the Ledger:
(1) All transactions relating to an account should be entered at one place. In other words, two separate accounts should not be opened for posting transactions relating to the same account. If there are two customers with similar names, their accounts should be distinguished by writing their address against their names, say the Account of Prakash (Delhi) and the Account of Prakash (Chandigarh)

(2) The word ‘To’ is used before the accounts which appears on the debit side of an account. Similarly, the word ‘By’ is used before the accounts which appear on the credit side of an account.

(3) If an account has been debited in the Journal entry, the posting in the Ledger should also be made on the debit side of such account. In the Particulars column, the name of the other account which has been credited in the journal entry should be written for reference.

(4) If an account has been credited in the Journal entry, the posting in the Ledger should also be made on the credit side of such account. In the Particulars column, the name of the other account which has been debited in the journal entry should be written for reference.

(5) Similar amount which has been posted on the debit side of an account should also be posted on the credit side of another account.

(6) It is not necessary’ to write the word ‘ A/c’ after the personal accounts.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Example: On 1st August 2004, sold goods for cash Rs. 8,000. Pass Journal entry and post it into Ledger.
Solution:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.2

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.3

Question 6.
Define the purpose of maintaining subsidiary Journal.
Answer:
Role or purpose of subsidiary Journal may be cleared from the following :
Role of Journal Proper in Practical System of Book-keeping :
By now, the students are familiar with the journal. They also know that:

  • Cash transactions are recorded in the cash book;
  • Credit purchases of goods or materials are recorded in the purchases book;
  • Credit sales of goods are recorded in the sales book
  • Returns from customers are recorded in the sales book ;and
  • Returns to suppliers are entered in the purchases returns book.

Similarly, bills transactions will be entered in a separate books called the bills receivable books or the bills payable book, if these are maintained by the firm. Apart from the above transactions, there are some other entries also which have to be recorded. For them, the proper place is the journal proper. In fact, if there is no special books meant to record a transaction, it will be recorded in the journal proper. The role of the journal proper is, thus, usually restricted to the following types of entries:
(i) Opening Entries (In the Chapter – Journalizing)
(ii) Closing Entries (In the Chapter – Final Accounts)
(iii) Rectification Entries (Rectification of Errors)
(iv) Transfer Entries (Amount is transferred from one account to another)
(v) Adjustment Entries like:
Outstanding expenses, prepaid expenses, interest on capital, depreciation etc.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 7.
What is the difference between return inward and return outwards?
Answer:
Sales Returns Book or Returns Inward Book
If customers frequently return the goods sold to them, it would be convenient to record returns in a separate book called the ‘Sales Returns Book’ or the ‘Returns Inward Book’. The ruling of the book is similar to the Purchases or the Sales Book and entries are also made in the same manner. The following, with assumed figures, is a specimen of returns inward book :
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.4

Purchases Returns or Returns Outward Book
Such a book conveniently records returns of goods or materials purchased to the suppliers – if, however, the returns are infrequent, it may be sufficient to record the transactions in the journal. The ruling of the Purchase Returns or Returns Outward Book is similar to that of the Purchases Book. Entries are also similarly made. This is clear from the illustrations given below :
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.5
When the goods are returned, a debit note is prepared and sent to the supplier with the returned goods. A debit note contains the name of the party to whom the goods have been returned, details of the goods returned and reasons for the goods returned.

When the goods are received back, a credit note is prepared in duplicate containing the details relating to the name of customers, details relating to the name of customers, details of the goods received back and the amount of return. A credit note is also sent when a sale invoice is overcharged by mistake or sale invoice is overcost.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 8.
What do you understand by ledger folio?
Answer:
Meaning of Ledger Folio (L.F.) : All entries from the Journal are later posted into the ledger accounts. The page number of folio number of the ledger account where the posting has been made from the journal is recorded in the L.F. column of the journal. Suppose, a machine is purchased and posted at page No. 60 of the ledger, in the column of L.F. the number of page i.e. 60 should be written.

Followings are the advantages of writing the Ledger folio (L.F.):
(i) It shows whether an entry has been posted or not. If the page number of the ledger does not appear against an entry, it will indicate that the entry has not been posted to the ledger so far.

(ii) Page number written in the L.F. column in journal is indicative of the page number of ledger where such posting has been made. It helps in understanding and checking the ledger posting at a glance in future.

(iii) In case, the Trial Balance is not called, the posting of each entry can be checked with the help of L.F. column
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.6

Question 9.
What is the difference between Trade Discount and cash Discount?
Answer:
Discount
Discount is of two types :
(1) Trade Discount, and
(2) Cash Discount

(1) Trade Discount : The discount allowed by a seller to its customers at a fixed percentage on the listed price of goods is termed as Trade discount. No separate entry is passed for the Trade discount, as it is deducted from the cash memo or invoice of the goods. For example, if a trader sells goods of the list price of Rs. 20,000 at 20% trade discount for cash, the entry will be:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.7
If the goods sold at trade discount are returned by the customer, the amount of trade discount is again deducted from the list price of the returned goods.

(2) Cash Discount : This discount is allowed to the customers for making prompt payment. In other words, cash discount is allowed only it the customer makes the payment within a fixed period. Such discount motivates the customer to make the payment at the earliest.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

As the discount is allowed at the time of making payment, so the entry for cash discount is recorded alongwith the entry for payment. Discount is a nominal account and as such, it is debited when it is allowed to a customer and credited when it is received.

Difference between Trade Discount and Cash Discount
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.8

Sometimes, a customer is allowed both the discounts, i.e., trade discount as well as cash discount. In such a case, first trade discount is to be deducted from the price of the goods and then, cash discount is to be calculated on the balance of the amount.

For example, if a trader sells goods of the list price of Rs. 40,000 at 10% trade discount and 2% cash discount, the net amount will be calculated as under :
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.9

Question 10.
What is process of preparing Ledger from a Journal?
Answer:
Ledger is h book or register containing summarised and classified form of transactions. Ledger is the most important book of account. It is a principal book of account. Personal account in ledger show how much money the firm owes to its creditors and the amount it has to take from the debtors. The real account show the value of properties and value of stock. Nominal accounts reflect the source of income and also amount spent on various items.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

The Process of transferring the information of Journal to the ledger is called posting. The amount of Debit side in journal is written on the left hand side of the account in the particulars column, the name of the account which is to be credited is written, preceded by the word “To”.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.10
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.11

Question 11.
What do you understand by Imprest System in Petty Cash Book?
Answer:
Imprest System of Petty Cash Book : Under this system, the petty cashier is given a definite sum, say Rs. 800, at the beginning of a certain period. This amount is called ‘imprest amount’. The petty cashier goes on paying all petty ,expenses out of this imprest amount and records them in the petty cash book maintained by him. At the end of the given period, say after a month, the petty cashier submits the account to the main cashier who, after having examined the petty cash book, reimburses the amount actually spent by the petty cashier.

Thus, on the first day of the next month, the petty cashier after including the balance already left with him, is found again with the same cash balance which he held on the first day of the preceding month. For instance, Rs. 800 are advanced to the petty cashier on 1st Jan.

If petty cashier spends Rs. 460 by the end of Jan.he will be again given Rs. 460 so that after including Rs. 340 which he has already got with him, he will again restart with the original amount of Rs. 800 on the first day of Feb. This system of petty cash books is called the Imprest System, because imprest means ‘advance made to a certain person’.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

A good imprest system should have the following essentials :
(1) The petty cashier should obtain proper receipts for all the payments made by him. All these receipts should be arranged date-wise and numbered so that these maybe checked up easily by the main cashier when he takes reimbursement of the amount spent by him.
(2) The petty cashier should himself prepare proper vouchers for those expenses for which proper receipts cannot be obtained. He should get these vouchers sanctioned from a proper authority.
(3) There should be an upper limit of the amount of a single payment by the petty cashier. Payment above this limit should be made only by the main cashier.
(4) Petty cashier should get the reimbursement of the amount spent by him only from the main cashier.
(5) Petty Cashier should not be entitled to received any cash coming from outside the business.
(6) Great care should be taken while fixing the amount of imprest. It should be sufficient, to cover the petty expenses for the month.

Advantages of the Imprest System :

(1) Control over Misappropriation : Since the imprested sum is small, it does not provide a temptation either to the petty cashier or to other staff to misappropriate it.

(2) Control over Petty Expenses : Petty expenses are kept within the limits of imprest since the petty cashier can never spend more than the available petty cash with him.

(3) Control Exercised by Main Cashier : Main Cashier keeps a close watch on the amount refunded to the petty cashier from time to time. Hence, extravagance, if any, will be revealed.

(4) Lesser Chance of Misuse of Cash by Petty Cashier : At any time, the amount of Cash in hand plus the total value of vouchers which have not been reimbursed must equal the imprest amount. The existence of this simple check reduces the chance of misuse of cash by petty cashier.

(5) Advantageous to Petty Cashier : Imprest system is advantageous to petty cashier also because his liability to account for money spent can never exceed the imprest amount. Moreover, since his accounts are checked at regular intervals, says, weekly or monthly, he is not required to account for transactions which occurred in the far distant past.

Long Answer Type Questions

Question 1.
Explain the need for drawing up the special books.
Answer:
Need and Importance – The basic objective of accounting is to ascertain as to (I) how much amount is due from each customer or how much amount the firm has to pay to each supplier; (II) how much is the amount of purchase and sale during a particular period; (III) how much amount has been spent on each head of expenditure and how much amount has been earned on account of each head of income.

The journal fails to provide us the above informations because it is only a chronological record of the daily transactions of a business. Transactions of the same nature are not recorded at one place in the Journal. For example, in order to know on a particular date, the amount due from Sunil & Co., the various transactions pertaining to them will have to be sorted out from Journal or Subsidiary Books and will have to be collected at one place.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

From sales book the amount of sales made to them on each date will have to be ascertained, from sales return books the amount of goods returned by them will have to be ascertained, from cash book the amount received from them on different dates will have to be ascertained and even the some information may be omitted to be collected from various books. But in the Ledger all the transactions pertaining to Surender Mohan & Company will be posted at one place in an account opened in their name, which will provide a complete picture of all the transactions relating to them at a glance.

As such, the Ledger is a very useful book and is of the utmost importance in any enterprise. Hence, the Ledger is called the ‘Principal Book’. It is also called the book of final entry because the transactions which are first entered in Journal or Subsidiary Books are finally incorporated in the Ledger.

Advantages of ledger
(1) All accounts are opened on separate pages in this book. Hence, all the transactions pertaining to an account are collected at one place in the Ledger. As such, by looking at the balance of that account, one can understand the collective effect of all such transactions at any point of time.
(2) Any type of information relating to the business can be easily obtained from the Ledger, such as (1) how much amount each customer owes to the firm; (II) how much amount the first owes to each creditor; (III) how much is the amount of purchase and sales during a particular period; (IV) how much amount has been paid or received on account of various items; and (V) what is the ultimate position of assets and capital.
(3) A trial balance can be prepared with the help of ledger balances which helps in ascertaining the arithmetical accuracy of the accounts.
(4) A trading and profit and loss account can only be prepared with the help of ledger balances.
(5) A balance sheet can also be prepared with the help of ledger balances which depict the financial position of the business.

Question 2.
What is Cash Book? Explain the types of cash book.
Answer:
Cash book is a summary of cash receipts and payments. All cash receipts are recorded in the debit side and all cash payments are recorded in the credit side. All transactions are recorded chronologically.

Types of Cash Book
Cash Book may be classified into three types :
(i) Single Column Cash Book
(ii) Two Column or Double Column Cash Book
(iii) Three Column Cash Book

(i) Single column Cash Book: In this type of cash book, a single Amount column on each side records the receipts and payments. The left hand side records receipts of cash and the right hand side the payments.
Following is the specimen:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.12

(ii) Double Column Cash Book (Bank and Discount Column) :
In case of transactions involving cash there is always a’risk of embezzlement of cash by the employees. For the purpose of minimising this risk some businessmen follow the policy of depositing all Cash receipts into the bank on daily basis and making all payments by the issue of cheques. Such a Cash Book is also known as Bank Cash Book.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Following rules are observed for preparing such a book :
1. All receipts whether in Cash or by Cheque are to be recorded on the debit side of this book in bank column. It is assumed that all cheques received are sent to the bank for collection on the same day.
2. All payments are to be recorded on the credit side of this book in the bank column.
3. If cheque sent for collection is dishonoured, it is recorded on the credit side of this book in bank column. If some discount was allowed on receipt of such a cheque, the discount allowed must also be withdrawn. However, the discount withdrawn should not be entered in the discount column on Credit side of Cash book because the total of this column is posted to the Discount Received Account. The entry for withdrawing the discount should be passed through Journal Proper. The entry will be:
Debtor’s A/c — Dr.
To Discount Allowed A/c
4. Bank charges are also recorded on the credit side in bank column.
5. For small payments like postage, telegrams, conveyance, stationery etc., which cannot be paid by cheque, a separate book is maintained called ‘Petty Cash Book’.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.13
(iii) Three Column Cash Book : A column for discount when added to the existing two column cash book it is known as’Three- Colurnn Cash Book’. The columns for discount is not balanced but each side are totalled. The total so ascertained is posted to Discount Account, total of discount column on the credit side of cash book is posted to the credit of Discount Received Account and total of discount column on the debit side of cash book is posted to the debit of Discount Allowed Account. It may be noted that Three Column Cash Book is not within the course and hence, has not been discussed in detail.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.14

Question 3.
What is Contra Entry? How can you deal this entry while preparing Double Column Cash Book?
Answer:
Contra Entries : When cash is deposited into the hank or when cash is withdrawn from the bank for use in the office, each such transaction affects both ‘Cash Column’ as well as ‘Bank Column’ and the transaction is therefore, recorded on both sides of the cash book.

Such entries, the double entry of which is complete in the Cash Book itself, are called “Contra entries”.
(1) Cash deposited into Bank : When cash is deposited into the bank, it increases the bank balance and reduces the cash balance. Hence, it affects the Cash Column as well as the Bank Column. As such the same amount is recorded on the debit side as well as on the credit side. On the Dr. side ‘To Cash A/c’ is written and the amount is recorded in the bank column. On the Cr. side ‘By Bank A/c’ is written and the l amount is recorded in the Cash Column

Debit Bank A /c (As bank is receiving the Cash i.e., Debit the receiver) Credit Cash A/c (As cash is going out)
For example, if we deposit Rs. 2,000 into the bank, it will be recorded in the cash book as follows
Double Column Cash Book (with Cash and Bank Columns)
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.15

(2) Cash withdrawn from Bank for office use : In this case, the cash balance is increased and the bank balance is reduced. On the Dr. side ‘To Bank A/c’is written and the amount is recorded in Cash Column. On the Cr. side ‘By Cash A/c’ is written, and the amount is recorded in Bank Column.
Debit Cash A/c (As cash is coming in)
Credit Bank A/c (As bank is the giver, i.e., credit the giver) For example, if we withdraw Rs. 2,500 from the bank, it will be recorded in the cash book as follows :
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.16
Contra entries are not required to be posted to ledger as their double entry is complete in the Cash Book itself. Cash Book itself serves as the cash account and bank account. In order to indicate that these entries are not to be posted to the ledger, the word ‘C’, which stand for contra, is written on both the sides in ‘L.F.’ Column. The word Contra means ‘opposite’ or ‘against’.

(3) Receipt of Cheque and Bank Draft: ‘
(A) Cheques received from customers and deposited into bank the same day : These are entered in Bank Column on the debit side.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

(B) Cheques received from customers but not deposited into bank the same day : These are treated as cash, and entered in Cash Column on the debit side.

Contra Entry : When these cheques are actually deposited with ‘ the bank on a future date, a contra entry, as in the case of cash deposited in the bank, will be passed.

Question 4.
What is Petty Cash Book? Write the advantages of Petty Cash Book.
Answer:
Petty Cash Book : In every business, of whatever size, a large number of small payments such as for postage, stationery, bus fare, taxi fare, cartage etc., have to be made. These payments are generally repetitive in nature. If all these payments are made by the cashier and are recorded in the main cash books the cashier will be overburdened with the work and the cash books will also become very bulky. To avoid this, it is usual to appoint an employee as ‘Petty Cashier’. He is entrusted with the task of making small payments, say, below Rs. 50 and records them in a separate book, called Petty Cash Book.

Advantages Of Petty Cash Book

(1) Saving of Time and Labour: As petty cashier handles the work of making all petty expenses and recording them as well, a lot of time and energy of the main cashier is saved. He is to record only the total of such expenses and that too only once, at the end of each month.

(2) Easiness in Posting: Only the total of each head of expense is posted into the Ledger. As such, a lot of space is saved and the posting becomes very convenient.

(3) Easiness in preparing the Cash Book: As the number of small payments in every business is quite large and as these are recorded in the petty cash books itself, the main cash book is not overburdened and can be more easily totalled.

(4) Control on Petty Expenses : The main cashier keeps checking the petty cash book from time to time and a proper check is put on any unnecessary expenditure.

(5) Lesser chances of fraud : Petty cashier obtains a receipt are duly signed by the main cashier while reimbursing the amount to the petty cashier. As such, it minimises the chance of fraud.

(6) Simple Method : The maintenance of petty cash book does not require any specialised knowledge of accounting.

(7) Comparative Study is Possible : Results of one year may be compared with those of previous years and reasons for the change may be ascertained.

(8) Help Management in Decision-Making : The management may obtain good information for its work, specially in making decisions.

(9) No Scope of Fraud : The firm is saved from frauds and misappropriations since full information about all assets and liabilities will be available. It is because of these advantages that the double entry system has been used extensively in all countries. One should read the advantages again after he has studied ‘Final Accounts’.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 5.
Describe the advantages of sub-divided the Journal.
Answer:
Journal can be sub-divided into various subsidiary books in order to record various transactions. The various books like cash book, purchase book, sales book, purchase return and sales return journal and journal proper are special books maintained for recording all cash and credit transactions in order to prepare profit and loss account and Balance-sheet to know the financial position of the business.

Cash book is a record of all receipts and payments of cash transactions. Credit transactions are recorded in various subsidiary books. After Balance is prepared and final accounts are prepared with the help of Trial Balance.

Following benefits may be derived from sub-dividing the journal :
(i) It saves time and cost as the volume of transactions are so large in recording in journal that it convey no meaning. By classifying the various transactions into books of original entry, make meaning and draws certain conclusion.

(ii) It provides profitability and earning capacity of the business firm. By sub-dividing the journal, the ultimate object of preparing trading, profit and loss account and financial position provides the profitability of the business firm.

Question 6.
What do you understand by Balancing of account?
Answer:
Balancing of Accounts : After completing the posting of all transactions, accounts are balanced every year or after a certain period. Balancing of account means the two sides of account are totalled and the difference in total of the two sides is written in the side whose total is short.

For example, if total of credit side is more than the debit side of any account the difference of amount will be recorded as Balance c/d on debit side and vice-versa on the credit side. If the total of debit side of any account is greater, that account will reveal debit balance and if total of credit side of any accounts is more it will show credit balance. The total of debit and credit side of some account may be equal, those accounts will not show any balance.

Types of Accounts that are Balanced : Normally, Personal Accounts and Real Accounts are balanced. Nominal Accounts are not balanced but are closed by transfer to Trading and Profit and Loss Account.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.17
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.18
(1) Cash deposited into Bank : When cash is deposited into the bank, it increases the bank balance and reduces the cash balance.
Debit Bank A /c — Dr
To Cash A/c
(For cash deposited into bank)

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

(2) Cash withdrawn from Bank for office use : In this case, the cash balance is increased and the bank balance is reduced.
To Cash A/c — Dr
To Bank A/c
(for cash is withdrawn for office use)

(3) Cheque Received froiti customers and deposited into bank the same day and not deposited the same day : If cheques received are deposited on the same day in the bank are entered in bank column on the debit side, but, if cheques are sent to bank on later date, these are treated as cash and entered in cash column on debit side. When these cheques are actually deposited with the bank on future date, the Contra Entry like cash deposited will be passed.

(4) Payment by Cheque : As soon as we issue a cheque to someone, it will be immediately recorded on the credit site in Bank Column so that we may be acquainted of the True balance at the bank.

(5) Dishonour of a Cheque : If a cheque, received from a customer and deposited into Bank for collection is dishonoured, an entry will be made on the credit side of the Cash Book by entering the amount of the dishonoured cheque in the bank column. In particulars column, the name of the customer will be entered. For example, a cheque for Rs. 2.000 received from Ram Kumar is dishonoured, it will be recorded on the credit side as, “By Ram Kumar” and the amount will be entered in Bank Column.

(6) Cash Discount: In a Cash Book having Cash Bank Columns, the amount of discount is recorded in journal. For example, Rs. 4,800 are received from Yuvraj Singh in full settlement of his account of Rs.5,000. In such a case Rs. 4,800 will be recorded in Cash Book and the discount of Rs.200 will be recorded in Journal as follows :
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.19

Balancing :
(1) Debit side of cash column will always exceed the credit column and as such the balance will be shown on the credit side by writing the words, ‘By Balance c/d’.

(2) Usually the bank columns are balanced just like the cash columns. However, the bank column may show either a debit balance or a credit balance. If it shows« credit balance, it is called overdraft. Overdraft is a situation when cash withdrawn from the bank exceeds the amount deposited into the bank. In such a case, the total of the credit side of bank column will be bigger than the total of the debit side. The difference will be written on the debit side as “To Balance c/d”. At the beginning of the next month the balance will be shown as “By Balance b/d”.

Some important transactions :
(1) Amount withdrawn for personal use : Amount withdrawn from bank for the personal use of the proprietor is not a contra transaction, ft will affect only the bank column of the cash book. As it reduces the bank balance, it will be recorded on the credit side of cash book as ‘By Drawings A/c’ and the amount will be written in the bank column.

(2) Endorsement of a Cheque : Sometimes, a cheque received from a customer is not deposited into bank, but it may be given to some other peson, i.e., endorsed. When the cheque was received, it must have been entered in the cash column on the debit side On endorsement, it will be entered in the cash column on the credit side.

(3) Bank Charges : Bank usually charges some amount for the services rendered to its cumtomers. Such charges will be recorded on the credit side as ‘By Bank Charges’ and the amount will be recorded in the bank column.

(4) Bank Charges on dishonoured cheques : Expenses charged by the bank on dishonoured cheques will be added into the amount of dishonoured cheque itself.

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

(5) Amount directly deposited by a customer into our Bank A/c : When the information of such a deposit is received by the trader, it will be recorded on the debit side of the cash book and the amount will be entered in the bank column.

(6) (i) Interest allowed by bank: Interest allowed (credited) by the bank increases the balance at bank. The entry ‘ for such interest is, therefore, recorded on the debit side in bank column.

(ii) Interest charged by bank: When interest is charged (debited) by the bank on the amount of bank overdraft, the entry is recorded on the credit side in bank column.

(7) Discounting of Bill Receivable (B/R) from Bank : If a bill receivable is discounted from a bank, the entry for discount deducted by the bank is passed in the journal proper 1 and the net proceeds is entered in the Bank Column on the debit side.

Numerical Questions

Question 1.
Simple Cash Book
Enter the following transactions in a simple cash book for the year December 2005:
01 Cash in hand — 12,000
05 Cash received from Bhanu — 4,000
07 Rent Paid — 2,000
10 Purchase goods Murari for cash — 6,000
15 Sold goods for cash — 9,000
18 Purchase Stationery — 300
22 Cash paid to Rahul on account — 2,000
28 Paid Salary — 1,000
30 Paid Rent — 500
[Ans. Cash in hand Rs. 13,200]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.67

Question 2.
Record the following transaction in Simple Cash Book for the year November 2005
01 Cash in hand — 12,500
04 Cash paid to Hari — 600
07 Purchase goods — 800
12 Cash received from Amit — 1,960
16 Sold Goods for cash — 800
20 Paid to Manish — 590
25 PaidCartage — 100
31 Paid Salary — 1,000
[Ans. Cash in hand Rs. 12,170]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.21

Question 3.
Enter the following transaction in Simple Cash Book the year December 2005 :
01 Cash hand — 7,750
06 Paid to Sonu — 45
08 Purchased Goods — 600
15 Received cash from Parkash — 960
20 Cash sales — 500
25 Paid to S.Kumar — 1,200
30 Paid rent — 600
[Ans. Cash in hand Rs. 6,765)]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.22

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 4.
Bank Column Cash Book
Record the following transactions in a Bank Column Cash Book for the year December 2005 :
01 Started Business with cash — Rs. 80,000
04 Deposited in Bank — Rs. 50,000
10 Received Cash from Rahul — Rs. 1,000
15 Bought goods for cash — Rs. 8,000
22 Bought goods by Cheque — Rs. 10,000
25 Paid to Shyam by Cash — Rs. 20,000
30 Drew from Bank for office use — Rs. 2,000
31 Rent paid by Cheque — Rs. 1,000
[Ans. Cash in hand Rs. 5,000 : Cash at Bank Rs. 37,000]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.23

Question 5.
Prepare a Double Column Cash Book with the help of following information for the year December 2005 :
1 Started business with Cash — Rs. 1,20,000
3 Cash paid into Bank — Rs. 50,000
5 Purchased Goods from Sushmita — Rs. 20,000
6 Sold goods to Dinker and received a Cheque — Rs. 20,000
10 Paid to Sushmita cash — Rs. 20,000
14 Cheque received on December 6, 2005 deposited into bank — Rs. 20,000
18 Sold goods to Rani — Rs. 12,000
20 Cartage paid in cash — Rs. 500
22 Received Cash from Rani — Rs. 12,000
27 Commission received — Rs. 5,000
30 Drew Cash for Personal Use — Rs. 2,000
[Ans. Cash in hand Rs. 64,500 : Cash at Bank Rs. 70,000]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.24

Note: No entries will be passed for Dec. 05, and Dec. 18 as these transactions are non-cash transactions.

Question 6.
Enter the following transactions in Double Column Cash Book of M/s. Ambica Traders for the year November 2005:
01 Commenced business with cash — Rs. 50,000
03 Opened Bank account with ICICI — Rs. 30,000
05 Purchased goods for cash — Rs. 10,000
10 Purchased office Machine for cash — Rs. 5,000
15 Sales goods on credit from Rohan and received cheque — Rs. 7,000
18 Cash sales — Rs. 8,000
20 Rohan’s cheque deposited into bank
22 Paid cartage by cheque Rs. 500
25 Cash withdrawn for personal use — Rs. 2,000
30 Paid rent by cheque — Rs. 1,000
[Ans. Cash in hand Rs. 11,000 : Cash at bank — Rs. 35,500]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.25

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 7.
Prepare Double Column Cash Book from the following information for the year September 2004:
01 Cash in hand — Rs.7,500
Bank overdraft — 3,500
03 Paid wages — 200
05 Cash sales — 7,000
10 Cash deposited into Bank — 4,000
15 Goods purchased and paid by cheque — 2,000
20 Paid rent — 500
25 Drew from Bank for personal use — 400
30 Salary paid — 1,000
[Ans. Cash in hand Rs. 8,800 : Bank overdraft Rs. 1,900]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.26

Question 8.
Enter the following transaction in a Double column cash Book of M/s. Mohit Traders for the year January 2005 :
01 Cash in hand — Rs.3,500
Bank Overdraft — 2,300
03 Good purchased for Cash — 1,200
05 Paid Wages — 200
10 Cash Sales — 8,000
15 Deposited into Bank — 6,000
22 Sold goods for cheque which was deposited into bank same day — 2,000
25 Paid rent by cheque — 1,200
28 Drew from bank for personal use — 1,000
31 Bought goods by cheque — 1,000
[Ans. Cash in hand R-s. 6,100 : Casli at bank Rs. 500]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.27

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 9.
Prepare Double Column Cash Book from the following transactions for the year December, 2005 :
01 Cash in hand — Rs.17,500
Cash at Bank — 5,000
03 Purchased goods for cash — 3,000
05 Received cheque from Jasmeet –10,000
08 Sold Goods for Cash — 7,000
10 Jasmeet’s Cheque deposited into Bank
12 Purchased goods and paid by cheque — 20,000
15 Paid Establishment expenses through bank — 1,000
18 Cash Sales — 7,000
20 Deposited into Bank — 10,000
24 Paid Trade Expenses — 500
27 Received Commission by cheque — 6,000
29 Paid Rent — 2,000
30 Withdrew cash for Personal use — 1,200
31 Salarypaid — 6,000
[Ans. Cash in hand Rs. 8,800 : Cash at Bank Rs. 10,000]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.28

Question 10 .
M/s. Ruchi Trader started their cash book with the following balances on Dec. 01,2005: Cash in hand Rs. 1,354 and balance at
Bank Account Rs. 7,560. He had the following
transaction in the month of December, 2005. Rs.
3 Cash Sales 2,300
05 Purchased goods, paid by cheque — 6,000
8 Cash Sales — 10,000
12 Paid Trade Expenses — 700
15 Sales goods, received cheque
(Deposited the same day) — 20,000
18 Purchased Motor Car paid by cheque — 15,000
20 Cheque received from Manisha
(Deposited same day) — 10,000
22 Cash Sales — 7,000
25 Manisha’s cheque dishonoured
28 Paid Rent — 2000
29 Paid Telephone Expenses by cheque — 500
31 Cash withdrawn for personal use — 2,000
Prepare Bank Column cash Book
[Ans. Cash in hand Rs. 1 5,954 : Cash at Bank Rs. 6,060]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.29

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 11.
Petty Cash Book
Prepare Petty Cash Book from the following transactions. The imprest system amount is Rs. 2,000.
January — Rs.
01 Paid Cartage — 50
02 STD Charges — 40
02 Bus Fare — 20
03 Postage — 30
04 Refreshment for Employees — 80
06 Courier charges — 30
08 Refreshment of Customers — 50
10 Cartage — 35
15 Taxi fare to Managers — 70
18 Stationery — 65
20 Bus fare — 10
22 Fax Cheques — 30
25 Telegram charges — 35
27 Postage Stamps — 200
29 Repair on furniture — 105
30 Laundry Expenses — 115
31 Miscellaneous Expenses — 100
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.30
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.31

Question 12.
Record the following transactions daring the week ending Dec. 30,2005 with a weekly interest of Rs. 500.
24. Stationery 100
25. Bus Fare 12
25. Cartage 40
26. Taxi fare 80
27. Wages to Casual labour 90
29. Postage 80
[Ans. Cash balance Rs. 98]
Answer:
Preposition of Petty cash book for the month of Dec. 2005.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.32

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Other Subsidiary Books

Question 13.
Enter the following transactions in the purchase Journal (Book) of M/s. Gupta Traders of July 2005 :
01 Bought from Rahul Traders as per Invoice No. 20041

40 Registers @ Rs. 60 Each
80 Gel Pens @ Rs. 15 Each
50 Note Books @ Rs. 20 Each
Trade Discount 10%.

15. Bought from Global Stationers as per Invoice No. 1132
40 Ink Pads @ Rs. 8 Each
50 files @ Rs. 10 Each
20 Color Books @ Rs. 20
Each Trade Discount 5%

23. Purchase from Lamba Furniture as per Invoice No. 3201
2 Chairs @ 600 Per Chair
1 Table (a), 1,000 Per Table

25. Bought from Mumbai Traders as per Invoice No. 1111
10 Paper Rim @ Rs. 100 per rim
400 Drawing Sheets @ Rs. 3 Each.
20 Packet Water Color @ Rs. 40 Per Packet.
[Ans. Total of purchase journal 8,299]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.33
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.63
Furniture purchased from Lamba Traders will not be recorded in the Purchase Book as furniture is not to be considered as goods for M/s- Gupta Traders. This is because M/s Gupta Traders deals in stationery and not in furnitures.

Question 14.
Enter the following Transaction in Sales Journal (Book) of M/s. Bansal Electronics
Sept 01. Sold to Amit Traders as per Bill No. 4321

20 Pocket Radio @ 70 per Radio
2 TV sets B&W (6″) @ 800 per TV

10. Sold to Arun Electronics as per Bill No. 4351
5 TV sets (20″) B&W @ Rs. 3,000 per TV.
2 TV sets (21″) Colour @ Rs. 4,800 per TV.

22. Sold to Handa Electronics as per Bill No. 4399
10 Tape recorders @ Rs. 600 each
5 Walkman @ Rs. 300 each

28. Sold to Harish Trader as per Bill No. 4430
10 Mixer Juicer Grinder @ Rs. 800 each.
[Ans. Total of sales book Rs. 43,100]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.64

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 15.
Prepare a Purchase Return Journal (Book) from the followirg Transaction :
Jan.2006
5 Return Goods to M/s. Kartik Trader for Rs. 1,200
10 Goods Return to Sahil Pvt. Ltd. for Rs. 2,500
17 Goods Return to M/s Kohinour Traders for
List Price Rs. 2,000 less 10% Trade Discount
28 Return Outward to M/s. Handa Traders for Rs. 550
[Ans. Total of purchase returns book Rs. 6,050]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.65

Question 16.
Prepare a Return Inward (Journal Book) from the following Transactions of:
M/s. Bansal Electronics for the year November 2005 :
4 M/s. Gupta Trader returns the goods amounted Rs. 1500
10 Goods Return from M/s. Harish Traders for Rs. 800
18 M/s. Rahul Traders return the goods not as per specification for Rs. 1,200
28 Goods Return from Sushil Traders for Rs. 1,000
[Ans. Total of Sales Returns Rs. 4,500]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.36

Question 17.
Prepare proper subsidiary Journal (Books) and post to the Ledger from the following Transactions for the month of February 2006 :
1 Goods sold to Sachin — Rs. 5,000
4 Purchase from Kushal Traders for — Rs. 2.480
6 Sold goods to Manish Traders for — Rs. 2.100
7 Sachin Returns the goods for — Rs. 600
8 Returns to Kushal I’raders — Rs. 280
10 Sold to Mukesh — Rs. 3.300
14 Purchase from Kunal Traders for — Rs. 5,200
15 Furniture Purchase from Tarun for — Rs. 3,200
17 BoughtofNaresh — Rs. 4.060
20 Return to Kunal Traders for — Rs. 200
22 Return Inward from Mukesh — Rs. 250
24 Purchase Goods from Kirit & Co. for list price of Rs. 5.700 less 10% Trade Discount
25 Sold to Shri Chand Goods for — Rs. 6,600
less 5% Trade Discount
26 Sold to Ramesh Brothers for — Rs. 4,000
28 Return outwards to Kirit & Co. for — Rs. 1.000
Less 10% Trade Discount
28 Rainesh Brothers Return the goods — Rs. 500
(Total of Sales Book Rs. 20.670. Purchase Book Rs. 16,870)
(Purchase Returns Book Rs. 1 ,380, Sale Returns Book Rs. 1 .350)
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.38
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.39

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.40
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.41
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.42
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.43
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.66

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

Question 18.
The following Balances of ledger of MIs. Marble Traders on 1st April 2006.
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.45

Apr.01 Goods sold to Nia nish — Rs. 3,000
Apr.02 Purchase goods from Rarnesh — Rs. 8,000
Apr.03 Received cash froni Rahul in full settlement — Rs. 9,200
Apr.05 Cash received from Himanshu on account — Rs. 4,000
Apr.06 Paid to Ramesh by Cheque — Rs. 6,000
Apr.08 Rent paid by Cheque — Rs. 1,200
Apr.10 Cash received from Manish — Rs. 3,000
Apr.12 Cash Sales — Rs. 6,000
Apr.14 Goods return to Ranwsh — Rs. 1,000
pl5 Cash paid to Ramcsli in full settlement — Rs. 3,700
(Discount received Rs. 300)
Apr.19 Goods Sold to Kushal — Rs. 10,000
Apr.20 Paid Trade Expenses — Rs. 200
Api21 l)rew for personal tise — Rs. 1,000
Api22 Goods return froni Kushal — Rs. 1,200
Apr.24 Cash received from Kushal — Rs. 6,000
Apr.26 Paid for stationery — Rs. 100
Apr.27 Postage charges — Rs. 60
Apr.28 Salary Paid — Rs. 2,500
Api29 Goods purchased from Sheetal Traders — Rs. 7,000
Apr.30 Sold goods to Kirti — Rs. 6,000
Goods purchase from Handa Traders — Rs. 5,000
Journalise the above transactions and post them to the ledger.
[Ans. Total of accounts Balance Debit and Credit Rs. 1,35060]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.46
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.47
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.48
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.49
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.50

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.51
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.52
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.53
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.54
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.55
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.56
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.57
NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.58

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.59

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.60

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.61

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2.62

NCERT Solutions for Class 11 Accountancy Chapter 4 Recording of Transactions 2

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