Mr. Raj, an electronic goods dealer, gifted a microwave of value Rs.30,000 to his friend Rohan and recorded it in books as drawings. Is he correct?
Yes, he is correct,.it will be treated as drawings and will be recorded in the books.
Mr. Ram has a business of selling shoes. He bought goods worth Rs 50,000 on credit from Mr. Ajay. Also, he borrowed a sum of Rs 1,00,000 from his friend Mr.Shyam. What would be the amount of creditors which wil be recorded in his books?
Mr. X is a cloth merchant. His friend gifted him a shirt on his birthday. He is of the view that it is to be added to the value of stock of his shop. Is he correct ?
Mr. X has a shop in which he sells watches. He borrowed a sum of Rs 50,000 from his friend Mr. Y & has gifted a watch to another friend. Will this sum of Rs 50,000 be regarded as a revenue of his business?
Rectify the following errors:
(a)
Credit Sales to Mohan Rs 7,000 were recorded in purchases book.
(b)
Credit Purchases from Rohan Rs 900 were recorded in sales book.
(c)
Goods returned to Rakesh Rs 4,000 were recorded in the sales return book.
(d)
Goods returned from Mahesh Rs 1,000 were recorded in purchases return book.
(e)
Goods returned from Nahesh Rs 2,000 were recorded in purchases book.