Page 92 - DMGT104_FINANCIAL_ACCOUNTING

Financial Accounting

Notes (h) Dividend Received
(i) Discount allowed
(j) Discount received
(k) Plant purchased
(l) Furniture sold.

(m) Withdrew for personal use
(n) Cash received from debtors
(o) Electricity Paid
(p) Wages Paid

(q) Royalty Received
(r) Bad debts written off
(s) Bank overdraft
(t) Purchases returns /returns inward
(u) Sales returns/returns out ward.

(v) Purchases during the period
(w) Sales during the period.
13. Journalise/explain the rule of debit and credit in the following cases, indicating clearly
the nature of the accounts.

July 1 Goods purchased from Rao for 20,000
July 5 Goods sold for cash 4,000
July 7 Paid to Rao 10,000
July 10 Goods purchased for cash 3,000
July 17 Paid salaries 5,000
July 24 Goods sold to Reddy 12,000
July 31 Rent paid 2,000
July 31 Interest received 1,000

14. M/s Harisaran & Sons, Delhi took on 1.1.2006 a fire insurance policy for 1,00,000. Paying
2,000 as premium during the year. On 1.7.06 Goods were destroyed by fire for 1,50,000.
The Insurance company agreed to pay 85,000 on 1.8.06. Journalise the above in the books
of M/s Harisaran & Sons.

15. How do we balance the following types of accounts?
(a) Assets
(b) Expense
(c) Capital
(d) Revenue

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