Dinesh received from Shridhar an acceptance for ₹ 3,000 on 1st September, 2016 at 3 months. Dinesh got the acceptance discounted at 9% p.a. from his bank. On the due date, Shridhar paid the required amount.
Give the Journal entries in the books of Dinesh and Shridhar.

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Solution

Books of Dinesh

Date

Particulars

L.F.

Debit

Amount

Rs

Credit

Amount

Rs

2016

Sep.01

Bills Receivable A/c

Dr.

3,000

To Shridhar

3,000

(Shridhar acceptance was received)

Sep.01

Bank A/c

Dr.

2,932.50

Discount Charges A/c

Dr.

67.50

To Bills Receivable A/c

3,000

(Shridhar’s acceptance was discounted with bank)

Books of Shridhar

Date

Particulars

L.F.

Debit

Amount

Rs

Credit

Amount

Rs

2016

Sep.01

Dinesh

Dr.

3,000

To Bills Payable A/c

3,000

(Bills drawn by Shridhar accepted)

Dec.04

Bills Payable A/c

Dr.

3,000

To Bank A/c

3,000

(Shridhar’s acceptance discharged on its due date)

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PRACTICAL PROBLEMS

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Books of Dinesh
Date	Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
2016
Sep.01	Bills Receivable A/c	Dr.		3,000
	To Shridhar				3,000
	(Shridhar acceptance was received)

Sep.01	Bank A/c	Dr.		2,932.50
	Discount Charges A/c	Dr.		67.50
	To Bills Receivable A/c				3,000
	(Shridhar’s acceptance was discounted with bank)

Books of Shridhar
Date	Particulars		L.F.	Debit Amount Rs	Credit Amount Rs
2016
Sep.01	Dinesh	Dr.		3,000
	To Bills Payable A/c				3,000
	(Bills drawn by Shridhar accepted)

Dec.04	Bills Payable A/c	Dr.		3,000
	To Bank A/c				3,000
	(Shridhar’s acceptance discharged on its due date)

Dinesh received from Shridhar an acceptance for ₹ 3,000 on 1st September, 2016 at 3 months. Dinesh got the acceptance discounted at 9% p.a. from his bank. On the due date, Shridhar paid the required amount. Give the Journal entries in the books of Dinesh and Shridhar.

Dinesh received from Shridhar an acceptance for ₹ 3,000 on 1st September, 2016 at 3 months. Dinesh got the acceptance discounted at 9% p.a. from his bank. On the due date, Shridhar paid the required amount.
Give the Journal entries in the books of Dinesh and Shridhar.