23. Journalise the following transactions in the books of Ashwin.
(a) Bank informed that Sachin's acceptance for Rs. 5,750 sent to bank for collection had been honoured and bank charges debited were Rs. 50.
(b) Nitin renewed his acceptance for Rs. 7,200 by paying Rs. 2,200 in cash and accepting a new bill for the balance plus interest @ 8% p.a. for 3 months.
(c) Discharged our acceptance to Pravin for Rs. 4,250 by endorsing Bhavin's acceptance to us for Rs. 4,000.
(d) Jatin who had accepted Ashwin's bill of Rs. 8,500 was declared insolvent and only 40% of the amount due could be recovered from his estate.
Sr. No.
|
Particulars
|
JF
|
DEBIT
|
CREDIT
|
(a)
|
Bank A/c … Dr.
|
5700
| ||
Bank Charges A/c … Dr.
|
50
| |||
To Bills Sent for Collection A./c
|
5750
| |||
[being the bill is sent to bank for collection bill is honoured and bank charged debited]
| ||||
(b)
|
Nitin’s A/c …. Dr.
|
7200
| ||
To Bills Receivable A/c
|
7200
| |||
[Being the bill is dishonoured]
| ||||
Nitin’s A/c …. Dr.
|
100
| |||
To Interest A/c
|
100
| |||
[Being the interest is charged on balance amount]
| ||||
Cash A/c … Dr.
|
2200
| |||
To Nitin’s A/c
|
2200
| |||
[Being the Part payment is made in Cash]
| ||||
Bills Receivable A/c … Dr.
|
5100
| |||
To Nitin’s A/c
|
5100
| |||
[Being the new bill is drawn along with interest]
| ||||
(c)
|
Bills Payable A/c … Dr.
|
4250
| ||
To Bills Receivable A/c
|
4000
| |||
To Discount A/c
|
250
| |||
[Bills receivable endorsed in payment of acceptance at a discount]
| ||||
(D)
|
Jatin’s A/c …. Dr.
|
8500
| ||
To Bills Receivable A/c
|
8500
| |||
[Being the bill is dishonoured]
| ||||
Cash A/c … Dr.
|
3400
| |||
Bad debts A/c …. Dr.
|
5100
| |||
To Jatin’s A/c
|
8500
| |||
[Being the drawee become insolvent and only 40% of the amount could be recovered from his private property]
|
