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Journal Entries Practice for Beginners

The document contains practical exercises on journal entries for two individuals, Mr. X and Mr. Raveesh, detailing various business transactions. Each transaction is recorded with corresponding debit and credit entries in a structured format. The document also notes that the appointment of a manager does not warrant a journal entry until a salary payment occurs.

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0% found this document useful (0 votes)
71 views5 pages

Journal Entries Practice for Beginners

The document contains practical exercises on journal entries for two individuals, Mr. X and Mr. Raveesh, detailing various business transactions. Each transaction is recorded with corresponding debit and credit entries in a structured format. The document also notes that the appointment of a manager does not warrant a journal entry until a salary payment occurs.

Uploaded by

joy
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

PRACTICALS ON JOURNAL

1. Journalise following transactions in the books of Mr.X:


01.07.2015 Commenced business with ₹. 2,00,000
03.07.2015 Opened SB A/c with Vijaya Bank ₹. 50,000
06.07.2015 Sold goods to Pranay on credit ₹.13,000.
08.07.2015. Bought goods on credit from Praveen ₹.10,000.
10.07.2015 Paid travelling expenses ₹.400.
12.07.2015. Received an amount of ₹.25,000 from Gana as loan.
15.07.2015 Returned goods to Praveen ₹.1,500.
18.07.2015 Received commission from Pavithra ₹.3,500.
22.07.2015 Bought furniture worth ₹.7500.
23.07.2015 Sold goods to Bharat ₹.4000.
25.07.2015 Paid carriage ₹.150.
26.07.2015 Paid salary to manager ₹.15,000.
27.07.2015 Withdrew cash from office for personal use ₹.5,000.
Solution:
JOURNAL ENTRIES IN THE BOOKS OF Mr.X
DATE PARTICULARS LF DEBIT (₹.) CREDIT (₹.)
2015 Cash a/c Dr 2,00,000
JUL 1st To Capital a/c 2,00,000
(Being Mr.X commenced business
with cash)
JUL 3rd Bank a/c Dr 50,000
To cash a/c 50,000
(being S/B account opened in
Vijaya bank)
JUL 6th Pranay a/c Dr 13,000
To sales a/c 13,000

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PRACTICALS ON JOURNAL

(Being goods sold to pranay on


credit)
JUL 8th Purchases a/c Dr 10,000
To Praveen’s a/c 10,000
(Being goods purchases from
[Link] on credit basis)
JUL 10th Travelling expenses a/c Dr 400
To cash a/c 400
(being travelling expenses paid)
JUL 12th Cash a/c Dr 25,000
To Gana’s loan a/c 25,000
(being loan taken from [Link])
Praveen’s a/c Dr
JUL 15th 1,500
To Purchase returns a/c
1,500
(being goods returned to
[Link])
3,500
Cash a/c Dr
JUL 18th 3,500
To commission a/c
(being commission received from
Pavithra)
JUL 22nd Furniture a/c Dr 7,500
To cash a/c 7,500
( being furniture purchased for
cash)
JUL 23rd Bharath a/c Dr 4,000
To sales a/c 4,000
(being goods sold to Bharath on
credit basis)

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PRACTICALS ON JOURNAL

JUL 25th Carriage a/c Dr 150


To cash a/c 150
(being carriage paid)
JUL 26th Salary a/c Dr 15,000
To cash a/c 15,000
(being salary paid to Manager)
Drawings a/c Dr
5,000
To cash a/c
JUL 27th 5,000
(being amount withdrew from
business for personal use)
3,35,050 3,35,050

2. Journalise the following transactions in the books of Raveesh:


2021
April 1 Commenced business with cash ₹.20,000.
April 2 Purchased goods from Ravi ₹.5,000.
April 3 Bought office furniture for cash ₹.8,000.
April 9 Paid salaries ₹.1,500.
April 12 Prashanth returned goods ₹.950.
April 13 Amar withdrew for personal use ₹.1200.
April 16 Received commission ₹.150.
April 17 Cash withdrawn for personal use ₹.1,450.
April 23 Drew a cheque for personal use ₹.800.
April 24 Paid wages ₹.2,300.
April 25 Appointed Mr. Sathish as manager with a monthly salary of ₹.5,000 per month.
April 30 Received a crossed cheque from Ramesh for ₹.6,000.

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PRACTICALS ON JOURNAL

Solution:
JOURNAL ENTRIES IN THE BOOKS OF Mr. Raveesh
DATE PARTICULARS LF DEBIT (₹.) CREDIT (₹.)
2021 Cash a/c Dr 20,000
APR 1 To Capital a/c 20,000
(Being [Link] commenced
business with cash)
APR 2 Purchases a/c Dr 5,000
To [Link]’s a/c 5,000
(being goods purchased from
[Link] on credit)
APR 3 Furniture a/c Dr 8,000
To cash a/c 8,000
(being furniture purchased for
cash)
APR 9 Salaries a/c Dr 1,500
To cash a/c 1,500
(being salaries paid)
Sales return a/c Dr
APR 12 950
To Prashanth a/c
950
(being goods returned by
Prashanth)
APR 13 Amar’s loan a/c Dr 1,200
To cash a/c 1,200
(being loan given to [Link])
APR 16 Cash a/c Dr 150
To commission a/c 150
(being commission received)

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PRACTICALS ON JOURNAL

Drawings a/c Dr
APR 17 To cash a/c 1,450
(being amount withdrew from 1,450
business for personal use)

Drawings a/c Dr
APR 23 800
To bank a/c
800
(being cheque drew from business
for personal use)
APR 24 Wages a/c Dr 2,300
To cash a/c 2,300
(being wages paid)
APR 30 Bank a/c Dr 6,000
To Ramesh a/c 6,000
(being crossed cheque received
from ramesh, presented at the
bank)
47,350 47,350

Note: Transaction on April 25th, appointment of Mr. Sathish as manager, is just an appointment & here there is no exchange of
benefit yet. Therefore, we did not enter this in journal.

This transaction can be recorded when Mr. Sathish gets his salary.

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