On November $1$ , $2010$ , Sonia drawn a bill on Sunny for Rs. $15, 000$ for $3$ months for mutual accommodation. Sunny accepts the bill and return it to Sonia. Sonia discounted the same with his bankers at the rate of $6 %$ per annum. The proceeds are shared between Sonia and Sunny in proportion of $2 / 3$ rd and $1 / 3$ rd respectively. On the due date, Sonia remits his proportion to Sunny who fails to met the bill and as a result Sonia has to meet it. Sunny give a fresh acceptance for the amount due to Sonia plus interest of Rs. $100$ Sunny meet his second acceptance on due date.
Record the necessary Journal entries in the books of Sonia and Sunny.

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Solution

In the Books of Sonia
Journal Entries
Date Particulars LF Amt.(Dr) Amt.(Cr)
$2010$
Nov $1$ Bills Receivable A/c Dr
To Sunny
(Being acceptance for accommodation bill received)
$15, 000$ $15, 000$
Nov $1$ Bank A/c Dr
Discount A/c Dr
To Bills Receivable A/c
(Being bill dishonoured with bank at the rate of $6 %$ per annum)
$14, 775$
$225$
$15, 000$
Nov $1$ Sunny Dr
To Cash A/c
To Discount A/c
(Being $1 / 5$ of the accommodation bill amount sent to Sunny)
$5, 000$ $4, 925$
$75$
$2011$

Feb $4$ Sunny Dr
To Cash A/c
(Being remittance to Sunny for paying off the accommodation bill)

$10, 000$ $10, 000$
Feb $4$ Sunny Dr
To Bank A/c
(Being bill dishonoured by Sunny on due date)

$15, 000$ $15, 000$
Feb $4$ Bank A/c Dr
To Cash A/c
(Being acceptance of Sunny met on maturity)

$15, 000$ $15, 000$
Feb $4$ Sunny Dr
To interest A/c
(Being interest due)

$100$ $100$
Feb $04$ Bills Receivable A/c Dr
To Sunny
(Being fresh acceptance received)
$15, 100$ $15, 100$
Mar $7$ Cash A/c Dr
To Bills Receivable A/c
(Being payment received on maturity from Sunny)
$15, 100$ $15, 100$
Note: Due date of new bill is assumed to be one month.
In the Books of Sunny
Journal Entries
Date Particulars LF Amt.(Dr) Amt.(Cr)
$2010$
Nov $1$ Sonia Dr
To Bills Payable A/c
(Being acceptance given for accommodation bill of Sonia)
$15, 000$ $15, 000$
Nov $1$ Cash A/c Dr
Discount A/c Dr
To Sonia
(Being $1 / 3$ of the accommodation bill amount received and discounted
$4, 925$
$75$
$5, 000$
$2011$
Feb $4$ Cash A/c Dr
To Sonia
(Being remittance received from Sonia)
$10, 000$ $10, 000$
Feb $4$ Bills Payable A/c Dr
To Sonia
(Being bill dishonoured on maturity)
$15, 000$ $15, 000$
Feb $4$ Interest A/c Dr
To Sonia
(Being interest due)
$100$ $100$
Feb $4$ Sonia Dr
To Bills Payable A/c
(Being second bill accepted)
$15, 100$ $15, 100$
Mar $7$ Bills Payable A/c Dr
To Cash A/c
(Being acceptance paid on maturity)
$15, 100$ $15, 100$

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Date	Particulars	LF	Amt.(Dr)	Amt.(Cr)
$2010$
Nov $1$	Bills Receivable A/c Dr To Sunny (Being acceptance for accommodation bill received)		$15, 000$	$15, 000$
Nov $1$	Bank A/c Dr Discount A/c Dr To Bills Receivable A/c (Being bill dishonoured with bank at the rate of $6 %$ per annum)		$14, 775$ $225$	$15, 000$
Nov $1$	Sunny Dr To Cash A/c To Discount A/c (Being $1 / 5$ of the accommodation bill amount sent to Sunny)		$5, 000$	$4, 925$ $75$
$2011$
Feb $4$	Sunny Dr To Cash A/c (Being remittance to Sunny for paying off the accommodation bill)		$10, 000$	$10, 000$
Feb $4$	Sunny Dr To Bank A/c (Being bill dishonoured by Sunny on due date)		$15, 000$	$15, 000$
Feb $4$	Bank A/c Dr To Cash A/c (Being acceptance of Sunny met on maturity)		$15, 000$	$15, 000$
Feb $4$	Sunny Dr To interest A/c (Being interest due)		$100$	$100$
Feb $04$	Bills Receivable A/c Dr To Sunny (Being fresh acceptance received)		$15, 100$	$15, 100$
Mar $7$	Cash A/c Dr To Bills Receivable A/c (Being payment received on maturity from Sunny)		$15, 100$	$15, 100$