NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Detailed, Step-by-Step NCERT Solutions for 11 Accountancy Chapter 3 Introduction to Accounting Questions and Answers were solved by Expert Teachers as per NCERT (CBSE) Book guidelines covering each topic in chapter to ensure complete preparation.

Introduction to Accounting NCERT Solutions for Class 11 Accountancy Chapter 3

Introduction to Accounting Questions and Answers Class 11 Accountancy Chapter 3

Test Your Understanding – I

Question 1.
Double entry accounting requires that:
(i) All transactions that create debits to asset accounts must create credits to liability or capital accounts:
(ii) A transaction that requires a debit to a liability account require a credit to an asset account;
(iii) Every transaction must be recorded with equal debits equal total credits.
Answer:
(iii) Every transaction must be recorded with equal debits equal total credits.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 2.
State different kinds of transactions that increase and decrease capital.
Answer:
Capital increases by net profit and fresh capital introduced and decreases by drawings and net loss.

Question 3.
Does debit always mean increase and credit always mean decrease?
Answer:
No

Question 4.
Which of the following answers properly classifies these commonly used accounts:
(1) Building
(2) Wages
(3) Credit sales
(4) Credit purchases
(5) Electricity charges due but not yet paid (outstanding electricity hills)
(6) Godown rent paid in advance (prepaid godown rent)
(7) Sales
(8) Fresh capital introduced
(9) Drawings
(10) Discount paid
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .108
Answer:
(ii)

Test Your Understanding -II

State the title of the accounts affected, type of account and the account to be debited and account to be credited
.NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .1
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .2
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .3
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .4

Test Your Understanding – III
Choose the Correct Answer:

1.The ledger folio column of journal is used to:
(a) Record the date on which amount posted to a ledger account.
(b) Record the number of ledger account to which information is posted.
(c) Record the number of amounts posted to the ledger account.
(d) Record the page number of the ledger account.
Answer:
(d) Record the page number of the ledger account.

2. The journal entry to record the sale of services on credit should include:
(a) Debit to debtors and Credit to capital.
(b) Debit to cash and Credit to debtors.
(c) Debit to Ices income and Credit to debtors.
(d) Debit to debtors and Credit to fees income.
Answer:
(d) Debit to debtors and Credit to fees income.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

3. The journal entry to record purchase of equipment for Rs. 2,00.000 cash and a balance of Rs. 8,00,000 due in 30 days include:
(a) Debit equipment for Rs. 2,00,000 and Credit cash Rs. 2,00,000.
(b) Debit equipment for Rs. 10.00,000 and Credit cash Rs. 2.00,000 and creditors Rs. 8,00.000.
(c) Debit equipment Rs. 2,00,000 and Credit debtors Rs. 8.00,000.
(d) Debit equipment Rs. 10,00.000 and Credit cash Rs. 10,00,000.
Answer:
(b) Debit equipment for Rs. 10.00,000 and Credit cash Rs. 2.00,000 and creditors Rs. 8,00.000.

4. When an entry is made in journal:
(a) Assets are listed first.
(b) Accounts to be debited listed first.
(c) Accounts to be credited listed first.
(d) Accounts may be listed in any order.
Answer:
(b) Accounts to be debited listed first.

5. If a transaction is properly analysed and recorded :
(a) Only two accounts will be used to record (lie transaction.
(b) One account will be used to record transaction.
(c) One account balance will increase and another will decrease.
(d) Total amount debited will equals total amount credited.
Answer:
(d) Total amount debited will equals total amount credited.

6. The journal entry to record payment’of monthly bill will include:
(a) Debit monthly bill and Credit capital.
(b) Debit capital and Credit cash.
(c) Debit monthly bill and Credit cash.
(d) Debit monthly bill and Credit creditors.
Answer:
(c) Debit monthly bill and Credit cash.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

7. Journal entry to record salaries will include:
(a) Debit salaries Credit cash.
(b) Debit capital Credit cash.
(c) Debit cash Credit salary.
(d) Debit salary’ Credit creditors.
Answer:
(a) Debit salaries Credit cash.

Test Your Understanding – IV

Fill in the blanks:
1. Issued a cheque for Rs.8,000 to pay rent. The account to be debited is ………….
2. Collected Rs. 35,000 from debtors. The account w be credited is …………..
3. Purchased office stationary for Rs. [8.000. The account to be credited is ……………
4. Purchased new machine for Rs. 1,70.000 and issued cheque for the same. The account to be debited is ……………..
5. Issued cheque for Rs. 70.000 to pay otT one of the creditors. The account to be debited is ………….
6. Returned damaged office stationary and received Rs. 50,000. The account to be credited is ……….
7. Provided services for Rs. 65,000 on credit. The account to be debited is ………………
Answer:
1. Rent A/c
2. Debtor’s A/c
3. Cash A/c
4. Machine A/c
5. Creditors A/c
6. Office Stationery A/c
7. Debtors A/c

Test Your Understanding – V

Select Right Answer:
Question 1.
Voucher is prepared for:
(i) Cash received and paid
(ii) Cash/Credit sales
(iii) Cash/Credit purchase
(iv) All of the above
Answer:
(iv) All of the above

Question 2.
Voucher is prepared from:
(i) Documentary evidence
(ii) Journal entry
(iii) Ledger account
(iv) All of the above
Answer:
(i) Documentary evidence

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 3.
How nian’ sides does an account have?
(i) Two
(ii) Three
(iii) one
(iv) None of These
Answer:
(i) Two

Question 4.
A purchase of machine for cash should be debited to:
(i) Cash account
(ii) Machine account
(iii) Purchase account
(iv) None of these
Answer:
(ii) Machine account

Question 5.
Which of the following is correct?
(i) Liabilities Assets + Capital
(ii) Assets Liabilities — Capital
(iii) Capital = Assets — Liabilities
(iv) Capital Assets + Liabilities.
Answer:
(iii) Capital = Assets — Liabilities

Question 6.
Cash withdrawn by the Proprietor should be credited to:
(i) Drawings account
(ii) Capital account
(iii) Profit and loss account
(iv) Cash account
Answer:
(iv) Cash account

Question 7.
Find title correct statement :
(i) Credit a decrease in assets
(ii) Credit the increase in expenses
(iii) Debit the increase in revenue
(iv) Credit the increase in capital
Answer:
(iv) Credit the increase in capital

Question 8.
The book in which all accounts are maintained is known as:
(i) Cash Book
(ii) Journal
(iii) Purchases Book
(iv) Ledger
Answer:
(iv) Ledger

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 9.
Recording of transaction in title Journal is called :
(i) Costing
(ii) Posting
(iii) Journalising
(iv) Recording
Answer:
(iii) Journalising

Short Answer Type Questions

Question 1.
Slate the three fundamental steps in accounting process.
Answer:
The fundamental steps of accounting process are as follows:
(i) Financial Transactions
(ii) Recording.
(iii) Classifying.
(iv) Summarizing. and
(v) Analysis and interpretation.

These steps may be explained with the help of following diagram:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .5

Question 2.
Why is the evidence provided by source documents important in accounting?
Answer:
Source Documents : Financial accounting records contain factual financial information and, th .refore, all business transactions should be evidenced by document ary evidence. For example, cash memo showing cash sale, an invoice showing sale of goods in credit, the receipt made out by the payee against cash payment are examples of source documents.

Business document is called the source document and is an evidence in support of a transaction.A source document is the first record prepared for a business transaction and are the basis for entries in the accounting books. On the basis of this record, the accounts are to be debited and credited.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 3.
Should a transaction be first recorded in a journal or Ledger? Why?
Answer:
Firstly, all transactions are recorded in journal. Transactions are written, as they occur in a rough books or on various documents. On the basis of the entries made in the rough book or on the basis of source documents, a voucher is prepared indicating the accounts to be debited or credited carefully in a systematic manner.

This is done in a book which is known as journal.Journal is the primary book of accounts in which transactions are originally recorded in chronological order. It is called the book of original entry.

Question 4.
Are debits or credits listed first in journal entries? Are debits and credits intended?
Answer:
When recording each transaction, the total debits amount must equal to the total credits amount. In accounting, the terms debit and credit indicate whether the transactions are to be recorded on the left hand side or right hand side of the account while journalizing the transactions, the amounts debited is written with the word ‘Dr/ In the next line, after leaving a little space, the name of account to be credited is written by the word‘To’.

Question 5.
Why are some accounting systems called double accounting system?
Answer:
Under Double accounting system every business transactions affects two accounts in opposite directions. For example, if the furniture is purchased in the business, furniture is increased whereas the cash is decreased. There can be no transaction in the business which effects only one account or which has only one aspect. As such, both the aspect of every transaction are recorded under this system.

It may, however, be noted that the double entry does not mean that a transaction – One account receiving a benefit is debited and the another account yielding a benefit and to give something to the business is credited. The amount of every transaction is written twice, once as a debit and again as a credit.

For example, Receipt of Rs. 6,000 from Mohan affects two accounts – Cash Account and Mohan’s Account. Cash Account is receiving a benefit and will be debited, whereas Mohan is yielding a benefit, his account will be credited.Double Entry system is based on the principle that “Every debit has a credit and every credit has a debit.”

Question 6.
Give a specimen of an Account.
Answer:
Account: An account is a record of all business transactions relating to a particular person or item. In accounting we keep a separate
record of each individual, asset, liability, expense or income. The place where such a record is maintained is termed as an ‘Account’. Such as the Account of Ghanshyam, the Account of Ram, the Account of Machinery, the account of Salary, the Account of Rent and likewise transactions entered into with Ghanshyam will be recorded in the Account of Ghanshyam and similarly, all transactions relating to Ram will be recorded in the Account of Ram. According to Carter:

“An Account is a ledger record in a summarised form, of all the transactions that have taken place with the particular person or things specified.”

All accounts are divided into two sides. The left side of an account is arbitrarily or traditionally called Debit side and the right side of an account is called Credit side. In the abbreviated form, Debit is written as Dr. and Credit is written as Cr. For example, the transactions relating to cash are recorded in an account, entitled ‘Cash Account’ and its format will be as given below :
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .6

The above account resembles English capital letter ‘T’ As such, it is often called ‘T’ shape account. An Account is abbreviated as A/c.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .7

Question 7.
Why are the rules of debit and credit same for both liability and capital?
Answer:
1. Liability Account: When there is an increase in the amount of a liability, such an increase will be recorded on the credit side of the liability account. On the contrary, if there is a reduction in the amount of a liability, it will be recorded on the debit side of the liability account. For example, if a firm borrows Rs. 40,000 from Ashok the account of Ashok will be credited since Rs. 40,000 is now owing to him. When the loan is repaid, the account of Ashok will be debited since the liability no longer exists.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .8

2. Capital Account: An increase in the capital is recorded on the credit side and the decrease in the capital is recorded on the debit side. Suppose, the proprietor introduces the additional capital in the business, the capital account will be credited. Similarly, if the proprietor whithdraws some money for his personal use, i.e, makes drawings, the capital account will be debited.
.NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .9
It is concluded that both liabilities and capital account increases the credit side of an account if increased. Similarly, the reduction of both liabilities and capital will be debited in an account.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 8.
What is the purpose of posting J.F./L.F. numbers that are entered in the journal at the time entries are posted to the accounts?
Answer:
The purpose of positing L.F. (stands for Ledger Folio) and J.F. (Journal Folio) is the page number of the original posting of transactions in a book known as Journal or Ledger (Primary books). It may further be understood with the help of format.

Form of Journal : the form of the journal is given below :
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .10
(L.F. Stands for Ledger Folio)

The columns have been numbered only to make clear how the Journal is written up, otherwise they are not numbered. While journalising, the following points should be noted:

(i) In the first column, the date of transaction is entered and the year is written at the top, then the month and in the narrow part of the column the date of the transaction concerned is entered.

(ii) In the second column, the names of the accounts involved are written in a logical manner. First, the account to be debited is written, with the word “Dr.” written towards the end of the column. In the next line, after leaving a little space, the name of the account to be credited is written preceded by word “To”. (The modem practice is more and more to omit writing of “Dr.” and “To”). Then in the next line the explanation called narration for.the entry together with necessary details is given.

(iii) In the third column, the number of the page in the ledger on which the account is written up is entered. (L.F. is Ledger Folio)

(iv) In the fourth column, the amount or amounts to be debited to the various accounts concerned is entered.

(v) In the fifth column, the amount to be credited to various accounts is entered.

Question 9.
What entry (Debit or Credit) would you make to
(a) Increase revenue
(b) decrease in Expenses
(c) record drawings
(d) record the fresh capital introduced by the owner.
Answer:
(a) Revenue or Income Accounts : All increases in the gains and incomes are recorded on the credit sides of the concerned income account as it leads to increase in the capital. On the contrary, if there is a reduction in any gain or income, the account concerned will be debited, as it leads to decrease in the capital.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .11

(b) Losses or Expenses Accounts : All increases in the losses and expenses are recorded on the debit side of the concerned expenses account as it leads to decrease in the capital. On the contrary, the reduction in expenses is recorded on the credit side.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .12
(c) An increase in the owner’s capital is recorded by crediting the capital account : Suppose, the proprietor introduces additional capital, the capital account will be credited. If the owner withdraws some money, i.e., makes a drawing the capital account will be debited. Journal Entries may be made as under:

(a) In case of Increase in revenue : Suppose rent received on subletting of premises, the journal entry will be passed as under:
Cash A/c — Dr.
To Rent A/c (Being rent received)

(b) Decrease in Expenses : In such situation again the entry will
be made in the credit side, for example insurance prepaid may be recorded as under:
Prepaid Insurance A/c — Dr.
To Insurance A/c
(Being insurnace paid in advance)

(c)Record Drawings: In case of Drawings, capital will be reduced to the amount of Drawings. The journal entry will be as under:
Drawings A/c — Dr.
To Cash/Bank A/c (Being drawings made)

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

(d) Fresh capital Introduced: While introducing fresh capital, the capital account will be credited. The journal entry is as follows :
Cash A/c — Dr.
To Capital A/c
(Being cash introduced to business as fresh capital)

Question 10.
If a transaction has the effect of decreasing an assest, is the decrease recorded as a debit or as a credit. If the transaction has the effect of decreasing a liability is the decrease recorded as a debit or as a credit.
Answer:
(i) When there is an increase in the amount of an asset, its account is debited; on the contrary, the account will be credited if there is a reduction in the amount of the asset concerned. Let this point be clarified with an example. Suppose, furniture of Rs. 1,800 is purchased, the furniture account will be debited by Rs. 1,800 since the asset has increased by this amount. Suppose, later furniture of Rs. 1,300 is sold, the reduction will be recorded by crediting the furniture account by Rs. 1,300.

(ii) If the amount of liability increases, the increase will be entered on the credit side of the liability account, i.e., the account will be credited. Similarly, a libility account will.be debited if there is a reduction in the amount of the liability. Suppose, a firm borrows Rs. 8,000 from Rakesh. Rakeslfs account will be credited since Rs. 8,000 is now owning to him. If later the loan is repaid, Rakeslfs account will be debited since the liability no longer exists.

(iii) Journal entries at the time of increase or decrease of an Assets may be made as under :
In case of purchase of furniture of Rs. 800 as mentioned above:
Furniture A/c — Dr.
To Cash A/c
(Being assets increased at the time of purchase and debited)

In case of sale of furniture :
Cash A/c — Dr.
To Furniture A/c
(Being furniture sold and credited)

(ii) Journal entries at the time of decreasing and increasing of a liability:
In case of raising a loan :
Cash A/c — Dr.
To Loan A/c
(Being loan raised, liability’ increased and credited)

In case of Repayment of loan:
Loan A/c — Dr.
To Cash A/c
(Being loan paid, liability decreased and debited)

Long Answer Type Questions

Question 1.
Describe the events recorded in accounting systems and the importance of source documents in those systems.
Answer:
Various transactions are made in a business in day to day dealings such as purchase, sale of goods and services, receipts and payments of cash etc. Each business transaction is supported by documentary evidence, such as cash memo for cash transactions, cash receipt, invoice or bill, debit and credit notes, pay-in-slips, cheque, bill of exchange etc.

These business documents are called source documents and first record of details of a business transaction. Entries in the books are made with the help of these source documents. These documents provide the verifiable objective of accounting by supporting adequate proof of transactions recorded in the books of accounts.

These documents are written and authentic proof of the exactness and correctness of the events or facts recorded in the books of account. These documents are helpful in assessment for tax and serve as legal evidence in case of a dispute.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 2.
Describe how debits and credits are used to analyse transactions.
Answer:
Rules of Debit and Credit : Debit and credit are simply additions to or substraction from an account. We have discussed that by deducting the total of liabilities from the total of assets, the amount of capital is ascertained, as is indicated by the accounting equation,

i.e.
Assets = Liabilities + Capital
Or
Assets – Liabilities = Capital

We have also discussed that if there is any change on one side of the equation, there is bound to be a similar change on the other side of the equation or amongst items comprised in it. This is due to dual aspect accect effect of the transactions. It becomes clear from the following illustration:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .13

The rules regarding debit and credit,may be summarised as under;
1. Debit the increase in assets and credit the decrease in assets.
2. Credit the increase in liabilities while make debit all the decrease in liabilities.
3. Debit the decrease in capital and credit the increase in capital.
4. Debit the decrease in income and credit thb increase in incomes.
5. Debit the increase in expenses and losses, and credit the decrease in expenses and losses.

Question 3.
Describe how account are used to record information about the effects of transaction.
Answer:
The process of analysing transactions and recording their effects directly in the accounts is helpful as a learning exercise. However, real accounting system do not record transactions directly in accounts. Firstly, every transaction is recorded in a journal or ledger known as books of original entry. This practice provides a complete record of each transaction in one place and links the debits and credits for each transaction.

After the debits and credits for each transaction are entered in journal book, they are transferred to the individual accounts, known as ledger posting, when this process is completed, it provides a complete and useful interpretation of the transaction or event’s effect in the organisation.

Question 4.
What is journal? Give a specimen of Journal showing at least five entries.
Answer:
Journal is a book of original entry in which transactions are recorded firstly as and when they take place in the business. “The Journal is originally used as a book of original entry of recording transaction in order of date form a memorandum book, classified into debits and credits, in order to facilitate their correct posting in ledger.” – Prof. Carter

Journal provides a date-wise record of all the transactions with details of accounts debited and credited, and the amount of each transaction. A journal records both debit and credit aspects of a transaction on the basis of double entry system of book-keeping.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .14
1. Date : In the first column, the date of transaction is entered. The year and month is also written only once, till they change. The order/sequence of dates and months must be maintained.

2. Paticulars : In this column, Debit the word (Dr.) is written first in the first line. In the second line, the name of account to be credited with the word (Cr.). After each entry, a brief explanation known as narration is also given.The narration
helps to know the reason of the entry and also the reason of debit and credit of a particular account.

3. Ledger Falio (L.F.) : The page number of ledger account where the posting has been made from the journal is recorded in the L.F. column. For example, the posting of furniture A/c of Page no. 38 of the ledger to write 38 in the L.F. column against furniture A/c in journal.

4. Amount Dr.: In this column, the amount of the account being debited is, written.

5. Amount Cr.: In this column, the amount of the account being, credited as written.

Posting of these five entries in the journal: July 2005

  • Ram Prasad started business with cash Rs. 1,50,000
  • Purchased furniture of cash Rs. 18.000
  • Sold goods to Mahesh Rs. 27,000
  • Purchase goods from Anuj Rs. 38,000
  • Withdraw cash for personal use Rs. 22.000.

These transactions may be entered in the journal in this manner :
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .15
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .16

Question 5.
Differentiate between source documents and vouchers.
Answer:
Source Documents : Business transactions arc recorded in various documents and papers where they occur in the business. These documents like cash memo, invoice, purchase and sales bill, debit and credit notes, pay-in-slips, cheques, salary slips are known as source documents.

Accounting Vouchers: Accounting vouchers also serves as a source ducument. These vouchers are arranged in a cronological order, serially numbered, kept in a separate file to facilitate the posting. Accounting vouchers record a transaction entailing multiple debits and credits. These vouchers must be kept in safe custody till the audit of the accounts and tax assessments for relevant periods are completed.

Question 6.
Accounting equation remains intact under all circumstances. Justify the statement with the help of an example.
Answer:
Accounting equation signifies the assets and liabilities of a business always remain equal and intact as this equation connotes the fundamental relationship among the figures of Balance-Sheet Equation. It is also termed as statement of assets, liabilities and capital. The claim of owner is known as Capital and the claim of outsiders is known as Liabilities. Assets side is the list of various assets, which the business entity owns. The equality of the assets side and the liabilities side of the balance sheet is intact under accounting equation also known as Balance-Sheet Equation.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Accounting equation may be understood with the help of following example :

  • Ramesh started business with a capital of Rs. 6,00,000.
  • Opened a bank account with an amount of Rs. 5,20,000.
  • Purchased Machinery for business of Rs. 80,000 and a cheque issued on the same day.
  • Goods purchased from Somesh for Rs. 60,000.
  • Goods costing Rs. 25,000 sold to Pankaj for Rs. 35,000.

The summary of effects of transactions on accounting equation 1-5 in the following analysis table :
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .17

Question 7.
Explain the double entry mechanism with an illustrate example.
Answer:
Double entry system affects two accounts in opposite direction. It is based on the principle that ‘Every debit has a credit and every credit has a debit’. Every business transaction has a two-fold effect and that it effects two accounts in opposite directions and if a complete record were to be made of each transaction, it would be necessary to debit one account and credit the other.

Both personal and impersonal accounts (Real and Nominal accounts) are recorded in Double Entry, one account is debited and any other account may be credited.

(i) Rules regarding the recording of Personal Accounts :
Personal accounts relate to an individual, firm, company or an instruction are called personal accounts such as Ramesli’s account, Mphan’s account. Accounts of State Bank of India, Accounts of Delhi Transport Company (DTC), capital account of proprietor. Drawing account etc.

The simple rule for recording a transaction in personal accounts “Debit the receiver and credit the giver Examples:
(i) Paid Rs. 20.000 to Rakesh
(ii) Received Rs. 10,000 from Gopal

Following transactions can be recorded as under:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .97

(ii) Rules regarding the recording of Real Accounts under Double Entry System : The accounts relating to assets whose value can be measured in terms of money are termed as Real Account such as Cash account, Machinery account, Furniture account, Building account and Goodwill account etc. The simple rule for recording of Real Accounts transaction is “Debit what comes in credit what goes out”.
Examples :
(i) Purchased furniture for Rs. 50,000

(ii) Sold Machinery for Rs. 20,000.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .98

Numerical Questions

Question 1.
Prepare accounting equation on the basis of the following:
(a) Harsha started business with cash Rs. 2,00,000
(b) Purchased goods from Naman for cash Rs. 40,000
(c) Sold goods to Bhanu costing Rs. 10,000/- Rs. 12,000
(d) Bought furniture on credit Rs. 7,000
[Ans. Assets = Cash Rs. 1,60,000 + Goods Rs. 30,000 + Debtors
Rs. 12,000 + Furniture Rs. 7,000 = Rs. 2,09,000; Liabilities = Creditors Rs. 7,000 + Capital Rs. 2,02,000
= Rs. 2,09,000)]
Answer:
Accounting Equation may be summarised in the following Transaction Analytical Table.NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .18
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .19

Question 2.
Prepare Accounting Equation from the following:
(a) Kunal started business with cash Rs. 2,50,000
(b) He purchased furniture for cash Rs. 35,000
(c) He paid commission Rs. 2,000
(d) He purchase goods on credit Rs. 40,000
(e) He sold goods (Costing Rs. 20000/-) for cash Rs. 26,000 [Ans : Assets = Cash Rs. 2.39,000 + Furniture Rs. 35,000 + Goods Rs. 20,000 = Rs. 2,94,000; Liabilities = Creditors Rs. 40,000 + Capital Rs. 2,54,000 = Rs. 2,94.000]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .21

Question 3.
Mohit has the following Transactions, prepare accounting equation:
(a) Business Started with cash Rs. 1,75,000
(b) Purchased goods from Rohit Rs. 50,000
(c) Sales Goods on Credit to Manish
(Costing Rs. 17,500/-) Rs. 20,000
(d) Purchase Furniture for office use Rs. 10,000
(e) Cash paid to Rohit in full settlement Rs. 48,500
(f) Cash received from Manish Rs. 20,000
(g) Rent paid Rs. 1,00 0
(h) Cash withdrew for personal use Rs. 3,000
[Ans. Assets = Cash Rs. 1.32,500 + Goods Rs. 32,500 + Furniture Rs. 10,000 = Rs. 1,75.000: Liabilities = Capital 1,75,000)
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .23

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 4.
Rohit has the following Transaction :
(a) Commenced business with cash Rs. 1,50,000
(b) Purchased Machinery on credit Rs. 40,000
(c) Purchased goods for cash Rs. 20,000
(d) Purchased car for personal use Rs. 80,000
(e) Paid to creditors in full settlement Rs. 38,000
(f) Sold goods for cash costing Rs. 5,000/- Rs. 4,500
(g) Paid rent Rs. 1,000
(h) Commission received in advance Rs. 2,000
Prepare the Accounting Equation to show the effect of the
above Transactions on the Assets, Liabilities and Capital.
[Ans. Assets = Cash Rs. 17,500 + Machine Rs. 40,000 + Goods Rs. 15,000 = Rs.72,500; Liabilities = Commission Rs. 2,000 + Capital Rs. 70,500 = Rs. 72,500]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .24

Question 5.
Use accounting Equation to show the effect of the following transactions of
(a) M/s. Royal Traders:
(b) Started business with cash Rs. 1,20,000
(c) Purchase goods for cash Rs. 10,000
(d) Rent received Rs. 5,000
(e) Salary outstanding Rs. 2,000
(f) Prepaid insurance Rs. 1,000
(g) Received interest Rs. 700
(h) Sold goods for cash (Costing Rs. 5,000) Rs. 7,000
(i) Goods destroyed by fire Rs. 500
[Ans. Assets = Cash Rs. 1,21,700 + Goods Rs. 4,500 + Prepaid Iunsurance Rs. 1,000; Liabilities = Outstanding salary Rs. 2,000 + Capital Rs. 1,25.200]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .99

Question 6.
Show that accounting Equation on the basis of the following transaction:
(a) Udit started Business with Cash Goods Rs. 5,00,000 Rs. 1,00,000
(b) Purchase Building for cash Rs. 2,00,000
(c) Purchase goods from Himani Rs. 50,000
(d) Sold goods to Ashu (Cost Rs. 25,000/-) Rs. 36,000
(e) Paid Insurance Premium Rs. 3,000
(f) Rent Outstanding Rs. 5,000
(g) Depreciation on Building Rs. 8,000
(h) Cash withdrawn for personal use Rs. 20,000
(i) Rent received in advance Rs. 5,000
(j) Cash paid to Himani on account Rs. 20,000
(k) Cash received from Ashu Rs. 30,000
[Ans. Assets = Cash Rs. 2,92,000 + Goods Rs. 1,25,000 + Building Rs. 1,92,000 + Debtors Rs. 6,000; Liabilities = Creditors Rs. 30.000 + o/s Rent Rs. 5,000 + Rent Rs. 5,000 +Capital Rs. 5.75,000 = Rs. 6.15,000
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .100

Question 7.
Show the effect of the following transactions of Assets,
Liabilities and Capital through accounting equation:
(a) Started Business with Cash Rs. 1,20,000
(b) Rent Received Rs. 10,000
(c) Invested in Shares Rs. 50,000
(d) Received Dividend Rs. 5,000
(e) Purchase goods on credit from Ragani Rs. 35,000
(f) Paid cash for household Expenses Rs. 7,000
(g) Sold goods for cash (Costing Rs.10,000) Rs. 14,000
(h) Cash paid to Ragani Rs. 35,000
(i) Deposited into Bank Rs. 20,000
[Ans : Assets = Cash Rs. 37,000 + Shares Rs. 50,000 + Goods Rs. 25,000 + Bank Rs. 20.000 = Rs. 1,32,000]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .101

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 8.
Show the effect of following transaction on the accounting equation:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .25
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .26
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .27

Question 9.
Transactions of M/s Vipin Traders are given below. Prepare Vouchers and show the effects on Assets, Liabilities and Capital with the help of accounting Equation.
(a) Business started with cash Rs. 1,25,000
(b) Purchase goods for Cash (Vide Cash Memo No. 1212) Rs. 50,000
(c) Purchase Furniture from R.K. Furniture (Vide Bill No. 3425) Rs. 10,000
(d) Sold goods to Parul Traders (Costing Rs. 7,000) (Vide Bill No. 5674) Rs. 9,000
(e) Paid Cartage Rs. 100
(f) Cash paid to R.K. Furniture in full settlement Rs. 9,700
(g) Cash sales (Costing Rs. 10,000) Rs. 12,000
(h) Rent received Rs. 4,000
(i) Cash withdrew for personal use Rs. 3000
[Ans : Asset = Cash Rs. 78,200 + Goods Rs. 33,000 + Furniture Rs. 10,000 + Debtors Rs. 9,000 = Rs. 1,30,200; Liabilities = Capital Rs. 1,30.200]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .28
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .29

Question 10.
Bobby opened a consulting firm and completed these transactions during November, 2005 :
(a) Invested Rs. 4,00,000 cash and office equipment with Rs.1,50,000 in a business called Bobbie Consulting.
(b) Purchased land and a small office building. The land was worth Rs. 3,00,000 and the building worth Rs. 7,00,000. The purchase price was paid with Rs. 2,00,000 cash and a long term note payable for Rs. 8,00,000.
(c) Purchased office supplies on credit for Rs. 12,000.
(d) Bobbie transferred title of motor car to the business. The motor car was worth Rs, 90,000.
(e) Purchased for Rs. 30,000 additional office equipment on credit.
(f) Paid Rs. 7,500 salary to the office manager.
(g) Provided services to a client and collected Rs. 30,000.
(h) Paid Rs. 4,000 for the month’s utilities.
(i) Paid supplier created in transaction (c).
(j) Purchase new office equipment by paying Rs. 93,000 cash and trading in old equipment with a recorded cost of Rs.7,000.
(k) Completed services of a client for Rs. 26,000. This amount is to be paid within 30 days.
(l) Received Rs. 19,000 payment from the client created in transaction (k).
(m) Bobby withdrew’ Rs. 20,000 from the business.
Analyse the above stated transactions and open the following
T-accounts : Cash, client, office supplies, motor car, building, land, long term payables, capital, withdrawals, salary, expense and utilities expense.
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .30
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .31

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .32

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .102
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .103

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .36

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .37
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .38

Analysis of Transactions

(a) Increases Cash, Office equipment (Assets) and Bobby’s Capital (Owner’s equity ).
(b) Increases Land and Building (Assets) and Increases Long Term Loan (Liability).
(c) Increases Stock (Assets) and Creditors (Liabilities).
(d) Increases Motor Car (Assets) and Capital (Owner’s equity).
(e) Increases Office Equipment (Assets) and Creditors (Liabilities).
(f) Decreases Cash (Assets) and Increases Expenses (Expenses).
(g) Increases Cash (Assets) and Increases Sales (Revence).
(h) Decreases Cash (Assets) and Increases (Expenses).
(i) Decreases Cash (Assets) and Creditors (Liabilities).
(j) Decreases Cash, Office Equipment (Assets) and Increases Office Equipment (Assets).
(k) Increases Debtors (Assets) and Sales (Revenue).
(l) Increases Cash (Assets) and Decreases Debtors (Assets).
(m) Decreases Cash (Assets) and own’s equity (Capital).

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Journalising

Question 11.
Journalise the following transactions Himanshu : in the Books of
2005 Dec. 01, Business started with cash Rs. 75,000
Dec. 07, Purchase goods for cash Rs. 10.000
Dec. 09, Sold goods to Swati Rs. 5,000
Dec. 12, Purchase furniture
Dec. 18, Cash received from Swati in full Rs. 32,000
settlement Rs. 4,000
Dec. 25. Paid Rent Rs, 1,000
Dec. 30, Paid Salary’ Rs. 1,500
Ans. Journal Entries in the books of Himanshu :
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .40
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .41

Question 12.
Enter the following Transactions in the Journal of Mudit:
2006 Jan. 01 Commenced business with cash Rs. 1,75,000
Building Rs. 1,00,000
Jan. 02 Goods Purchase for Cash Rs. 75,000
Jan. 03 Sold goods to Ramesh Rs. 3.0,000
Jan.04 Paid wages Rs. 500
Jan.06 Sold good for cash Rs. 10,000
Jan. 10 Paid for Trade Expenses Rs. 700
Jan. 12. Cash Received from Ramesh Rs. 29,500
Discount Allowed Rs. 500
Jan.14 Goods purchase from Sudhir Rs. 27,000
Jan. 18 Cartage paid Rs. 1,000
Jan.20 Drew cash for personal use Rs. 5,000
Jan.22 Goods use for house hold Rs. 2,000
Jan. 25 Cash paid to Sudhir Rs. 26,700
Discount received Rs. 300
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .43
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .44
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .45

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 13.
Journalizing the following transactions : 2005
Dec. 01 Hema started business with cash Rs. 1,00,000
Dec. 02 Open a Bank account With SBI Rs. 30,000
Dec. 04 Purchase goods from Ashu Rs. 20,000
Dec. 06 Sold goods to Rahul for Cash Rs. 15,000
Dec. 10 Bought goods from Tara for cash Rs. 40,000
Dec. 13 Sold goods to Suman Rs. 20,000
Dec. 16 Received Cheque from Suman Rs. 19,500
Discount allowed Rs. 500
Dec. 20 Cheque given to Ashu on account Rs. 10,000
Dec. 22 Rent paid by Cheque Rs. 2,000
Dec. 23 Deposited into Bank Rs. 16,000
Dec. 25 Machine Purchased from Parigya Rs. 10,000
Dec. 26 Trade Expenses Rs. 2,000
Dec. 28 Cheque issued to Parigya Rs. 10,000
Dec. 29 Paid Telephone Expenses by Cheque Rs. 1,200
Dec. 31 Paid Salary Rs. 4,500
Ans Journal Entries :
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .104

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .49
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .50

Question 14.
Journalise the following transaction in the Books of Harpreet Bros :
(a) Rs. 1,000 due from Rohit are now a bad debts.
(b) Goods worth Rs. 2,000 were used by the proprietor.
(c) Charge depreciation @ 10% p.a for Two month on machine costing Rs. 30,000.
(d) Provide interest on capital of Rs. 1,50,000 at 6% p.a. for 9 months.
(e) Rahul become insolvent, who owed Rs. 2,000 a final dividend of 60 paise in a rupee is received from his estate.
Ans.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .51

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 15.
Prepare Journal from the transaction given below :
(a) Cash paid for installation of machine Rs. 500
(b) Goods given as charity Rs. 2,000
(c) Interest charge on capital @7% p.a. when total capital were Rs. 70,000
(d) Received Rs. 1,200 of a bad debts written of last year
(e) Goods destroyed by fire Rs. 2,000
(f) Rent outstanding Rs. 1,000
(g) Interest on drawing Rs. 900
(h) Sudhir Kumar who owed me Rs. 3,000 has failed to pay the amount. He pays me a compensation of 45 p. in a rupee.
(i) Commission received in advance Rs. 7,000
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .105
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .52

Question 16.
Journalise the following transactions, post to the ledger : 2005
Nov. 01 Business started with Cash Rs. 1,50,000
Good Rs. 50,000
Nov. 03 Purchase Goods from Harish Rs. 30,000
Nov. 05 Sold goods for cash Rs. 12,000
Nov. 08 Purchase Furniture for cash Rs. 5,000
Nov. 10 Cash Paid to Harish on account Rs. 15,000
Nov. 13 Paid Sundry Expenses Rs. 200
Nov. 15 Cash sales Rs. 15,000
Nov. 18 Deposited into Bank Rs. 5,000
Nov. 20 Drew Cash for personal use Rs. 1,000
Nov. 22 Cash Paid to Harish in full settlement of account Rs. 14,700
Nov. 25 Goods sold to Nitesh Rs. 7,000
Nov. 26 Cartage paid Rs. 200
Nov. 27 Rent Paid Rs. 1,500
Nov. 29 Received cash from Nitesh Rs. 6,800
Discount.given Rs. 200
Nov. 30 Salary Paid Rs. 3,000
[Ans. Total of Debit and credit Rs. 3,16,900]
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .55NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .56

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .57

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .58

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .59

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .60

Question 17.
Journalize the following transactions is the journal of M/s Goel Brothers and post to the ledger 2006
Jan. 01 Started Business with Cash Rs. 1,65,000
Jan.02 Open Bank Account in PNB Rs. 80,000
Jan. 04 Goods purchased from Tara Rs. 22,000
Jan. 05 Goods purchases for cash Rs. 30,000
Jan. 08 Goods sold to Naman Rs. 12,000
Jan.10 Cash paid to Tara Rs. 22,000
Jan. 15 Cash received from Naman Rs, 11,700
Discount allowed Rs. 300
Jan.16 Paid Wages Rs. 200
Jan.18 Furniture purchased for office use Rs. 5,000
Jan.20 Withdrawn from bank for personal Rs. 4,000
use
Jan. 22 Issued cheque for Rent Rs. 3,000
Jan.23 Goods issued for house hold purpose Rs. 2,000
Jan.24 Drawn cash from bank for office use Rs. 6,000
Jan.26 Commission received Rs. 1,000
Jan.27 Bank charges Rs. 200
Jan.28 Cheque given for Insurance premium Rs. 3,000
Jan.29 Paid salary Rs. 7,000
Jan.30 Cash Sales Rs. 10,000
[Ans. Total of debit and credit Rs. 3,84,400]
Answer:
Journal entry in the books of M/s.Goel Brothers for the month, of January, 2006.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .106
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .62

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

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NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .65
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .66

Question 18.
Give journal entries of M/s. Mohit Traders. Post them the Ledger from the following :
Transactions 2005 August
1. Commenced business with cash Rs.1,10,000
2. Opened bank account with H.D.F.C. Rs. 50,000
3. Purchase furniture Rs. 20,000
7. Bought goods for cash from M/s. Rupa
Traders Rs. 30,000
8. Purchased goods from M/s. Hema Traders Rs. 42,000
10. Sold goods for cash Rs. 30,000
14. Sold goods on credit to M/s. Gupta Traders Rs. 12,000
16. Rent paid Rs. 4,000
18. Paid Trade Expenses Rs. 1,000
20. Received cash from Gupta Traders Rs. 12,000
22. Goods Return to Henia Traders Rs. 2,000
23. Cash paid to Hema Traders Rs. 40,000
25. Bought Postage stamps Rs. 100
30. Paid Salary to Rishabh Rs. 4,000
Ans. Journal Entries in the books of M/s. Mohit Traders for the month of August, 2005.
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .69
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .71

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .73
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .74
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .75

Question 19.
Journalise the following transactions in the Books of the M/s. Bhanu Traders and post them into the Ledger.
2005 Dec.
1. Started Business with Cash Rs. 92,000
2. Deposited into Bank Rs. 60,000
4. Bought goods on credit from Himani Rs. 40,000
6. Purchased goods for cash Rs. 20,000
8. Returned goods to Himani Rs. 4,000
10. Sold goods for cash Rs. 20,000
14. Cheque given to Himani Rs. 36,000
17. Goods sold to M/s. Goyal Traders. Rs. 3,50,000
19. Drew cash from Bank for Personal use Rs. 2,000
21. Goyal Traders returned goods Rs. 3,500
22. Cash deposited into bank Rs. 20,000
26. Cheque Received from Goyal Traders Rs. 31,500
28. Goods given as charity Rs. 2,000
29. Rent paid Rs. 3,000
30. Salary paid Rs. 7,000
31. Office machine purchased for cash Rs. 3,000
Ans. Journal Entries in the books of M/s. Bhanu Traders :
Answer:
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .76
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .77
Note : For transaction on Dec. 29, 2005, it has been assumed that the rent of Rs. 3,000 is paid through cheque, or the cash account would have shown a credit balance and that is logically not possible.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .78NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .79
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .80
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .81

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

Question 20.
Journalise the following, transactions in the Book of M/s. Beauti Traders. Also post the in the ledger.
2005 Dec.
1. Started business with cash Rs. 2,00,000
2. Bought office furniture . Rs. 30,000
3. Paid into bank to open an current account Rs. 1,00,000
5. Purchased a Computer and paid by cheque Rs. 2,50,00
6. Bought goods on credit from Ritika Rs. 60,000
8. Cash Sales Rs. 30,000
9. Sold goods to Krishna on credit Rs. 25,000
12. Cash paid to Mansi on account Rs. 30,000
14. Goods returned to Ritika Rs. 2,000
15. Stationery purchased for cash Rs. 3,000
16. Paid wages Rs. 1,000
18. Goods returned by Krishna Rs. 2,000
20. Cheque given to Ritika Rs. 28,000
22. Cash received from Krishna on account Rs. 15,000
24. Insurance premium paid by cheque Rs. 4,000
26. Cheque received from Krishna Rs. 8,000
28. Rent paid by Cheque Rs. 3,000
29. Purchased goods on credit from Meena
Traders Rs. 20,000
30. Cash Sales Rs. 14,000
Answer:
Journal Entries in the Books of M/s. Beauti Traders.
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .82
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .83
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .84

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1
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NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .86
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .87
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .88

Question 21.
Prepare Journal and post it to ledger of Sanjana.
Cash in hand Rs. 6,000
Cash at bank Rs. 55,000
Stock of good Rs. 40,000
Due to Rohan Rs. 6,000
Due from Tarun Rs. 10,000
3. Solti goods to Karuna Rs. 15,000
4. Cash sales Rs. 10,000
6. Goods sold to Heena Rs. 5,000
8. Purchased goods from Rupali Rs. 30,000
10. Goods returned from Karuna Rs. 2,000
14. Cash received from Karuna Rs. 13,000
15. Cheque given to Rohan Rs. 6,000
16. Cash received from Heena Rs. 3,000
20. Cheque received from Tarun Rs. 10,000
22. Cheque received from Heena Rs. 2,000
25. Cash given to Rupali Rs. 18,000
26. Paid cartage Rs. 1,000
27. Paid salary Rs. 8,000
28. Cash Sale Rs. 7,000
29. Cheque given to Rupali Rs. 12,000
30. Sanjana took goods for Personal use Rs. 4,000
31. Paid General Expense Rs. 500
Answer:
Journal Entries in the books of Sanjana.

NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .89
NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1 .90
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NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

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NCERT Solutions for Class 11 Accountancy Chapter 3 Recording of Transactions 1

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