Page 65 - ISCDEBK-XI

Sub-Division of Journal—Cash Book 9.3

Solved Questions

Illustration 1.
Record the following transactions in the Cash Book of Smith, Kolkata and show the balance:
2022 `
March 1 Balance of cash in hand 15,000
March 8 Purchased goods for cash from Peter 3,200
March 15 Sold goods to Angella 4,800
March 20 Received commission 650
March 20 Paid commission 550
March 28 Paid to Samuel on account 7,150
March 31 Paid salary to the office clerk ` 1,000 and office rent ` 600
Solution: In the Books of Smith
Dr. CASH BOOK Cr.
Date Particulars L.F. ` Date Particulars L.F. `
2022 2022
March 1 To Balance b/d 15,000 March 8 By Purchases A/c 3,200
March 20 To Commission Received A/c 650 March 20 By Commission Paid A/c 550
March 28 By Samuel 7,150
March 31 By Salary A/c 1,000
March 31 By Office Rent A/c 600
March 31 By Balance c/d 3,150
15,650 15,650
April 1 To Balance b/d 3,150
Note: Credit transactions are not recorded in the Cash Book. Transaction of 15th March, 2022 is a credit sale
hence, is not recorded in the cash book.
Illustration 2.
Enter the following transactions in Triple-column Cash Book with Cash, Bank and Discount
Columns:
2022 `
Jan. 1 Chander commences business with Cash ................................................................................................................. 20,00,000
Jan. 3 He paid into Bank Current A/c........................................................................................................................................ 19,00,000
Jan. 4 He receives cheque from Kirti & Co. on account ..................................................................................................... 60,000
Jan. 7 He deposits Kirti & Co.’s cheque into Bank
Jan. 10 He pays Ratan & Co. by cheque and is allowed discount ` 2,000 ...................................................................... 33,000
Jan. 12 Tripathi & Co. pays into his Bank A/c ............................................................................................................................ 47,500
Jan. 15 He receives cheque from Warsi and allows him discount ` 3,500..................................................................... 45,000
Jan. 20 He receives cash ` 7,500 and cheque ` 10,000 for sales
Jan. 25 He pays into Bank, including cheques received on 15th and 20th January .................................................. 1,00,000
Jan. 27 He pays by cheque for cash purchases ....................................................................................................................... 27,500
Jan. 30 He pays sundry expenses in cash .................................................................................................................................. 5,000
Jan. 30 He pays John & Co. in cash and is allowed discount ` 3,500 ............................................................................... 37,500
Jan. 31 He pays office rent by cheque ........................................................................................................................................ 20,000
Jan. 31 He draws a cheque for personal use ............................................................................................................................ 25,000
Jan. 31 He pays staff salaries by cheque .................................................................................................................................... 30,000
Jan. 31 He draws a cheque for office use .................................................................................................................................. 40,000
Jan. 31 He purchases stationery in cash .................................................................................................................................... 2,500
Jan. 31 He purchases goods for cash .......................................................................................................................................... 12,500
Jan. 31 He pays Jagpal by cheque for commission ............................................................................................................... 30,000
Jan. 31 He issues cheque to Ram Saran for purchase of furniture for office ................................................................ 1,57,500
Jan. 31 He receives cheque for commission from Raghubir & Co. and pays the same into bank ........................ 50,000
Jan. 31 Cash Sales .............................................................................................................................................................................. 45,000