Question

Journalise the following transactions in the books of Mohan, Delhi:
(i) Raj of Alwar, Rajasthan who owed Mohan ₹ 25,000 became insolvent and received 60 paise in a rupee as full and final settlement.
(ii) Mohan owes to his landlord ₹ 10,000 as rent.
(iii) Charge depreciation of 10% on furniture costing ₹ 50,000.
(iv) Salaries due to employees ₹ 20,000.
(v) Sold to Sunil goods in cash of ₹ 10,000 less 10% trade discount plus CGST and SGST @ 6% each and received a net of ₹ 8,500.
(vi) Provided interest on capital of ₹ 1,00,000 @ 10% per annum.
(vii) Goods lost in theft ₹ 5,000, which were purchased paying IGST @ 12% from Alwar, Rajasthan.
[Hint:]

(vii) Loss of Stock by Theft A/c		... Dr.	₹ 5,600
	To Purchase A/c			₹ 5,000
	To Input IGST A/c			₹ 600

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Answer 1

Journal
Date	Particulars		L.F.	Debit Amount (Rs)	Credit Amount (Rs)
(i)	Cash A/c	Dr.		15,000
	Bad-Debts A/c	Dr.		10,000
	To Raj’s A/c				25,000
	(Received 60 paise in full and final settlement)
(ii)	Rent A/c	Dr.		10,000
	To Rent Outstanding A/c				10,000
	(Owed rent to landlord)
(iii)	Depreciation A/c	Dr.		5,000
	To Furniture A/c				5,000
	(10% depreciation charged on furniture)
(iv)	Salaries A/c	Dr.		20,000
	To Salaries Outstanding A/c				20,000
	(Salaries due to employees)
(v)	Cash A/c	Dr.		8,500
	Discount Allowed A/c	Dr.		1,580
	To Sales A/c				9,000
	To Output CGST A/c				540
	To Output SGST A/c				540
	(Goods sold)
(vi)	Interest on Capital A/c	Dr.		10,000
	To Capital A/c				10,000
	(Interest on capital allowed @ 10% p.a.)
(vii)	Loss of Stock by Theft A/c	Dr.		5,600
	To Purchases A/c				5,000
	To Input IGST A/c				600
	(Goods lost by theft)