DEPARTMENT OF TECHNICAL EDUCATION

ANDHRA PRADESH

Name :K.HANUMANTHA RAO

Designation :Head of Section
Branch :
Commercial & Computer Practice (CCP)
Institute :
GPW/Guntur
Year/Sem : I Yr
Subject : ACCOUNTANCY-I
Sub-Code :CCP-102
Topic :CASH BOOK
Duration : 50 minutes
Sub Topic : Double Column Cash Book(Cash
& Discount Exercise-1
Teaching Aids : PPT, ANIMATIONS
CCP102.57 1
Objectives
On completion of this period you will be able
to :

 Work out problems of 2-Column

Cash Book (CB with Cash & Discount Columns)

CCP102.57 2
Exercise:1 Prepare a two column Cash Book from the
following particulars.
2007 Nov 01 Opening Balance Rs. 20,000.
’’ 02 Paid salaries Rs. 16,200.
’’ 03 Refund of income tax Rs. 4,125.
’’ 06 Cash Sales Rs. 14,150.
’’ 10 Credit Sales to Ramu Rs. 21,000.
’’ 14 Legal expenses Rs. 250.
’’ 15 Sales tax paid Rs. 1,650.
’’ 16 Settlement of Ramu’s account and cash
received is Rs. 20,500.
CCP102.57 3
2007 Nov18 Interest paid on bank loan Rs.1,250.
’’ 20 Cash purchase Rs.2,000.
’’ 21 Cash deposited into bank Rs.4,000.
’’ 22 Commission Received Rs.650.
’’ 21 Cash Sales Rs.15,000.
’’ 23 Interest Received on investments Rs.325.
’’ 24 Settlement of Sharma’s Account cash paid
Rs.9,925 instead of Rs.10,000.
’’ 26 Stationary Rs.425.
’’ 29 In settlement of Pandu debt cash paid
Rs.5,050 for Rs.5,100.
’’ 31 Rent Received Rs.4000.

CCP102.57 4
2007 Nov 01 Opening Balance Rs. 20,000.

 Record the opening balance in cash column on debit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.

Date Particulars L Discount Bank Date Particulars L Discount Bank

F Allowed Rs. F Allowed Rs.
2007
Nov 1 To opening 20,000
balance

CCP102.57 5
 2007 Nov 02 Paid salaries Rs.16,200.
 Cash goes out
 Record in cash column on credit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening 20,000 Nov 2 By Salaries 16,200
Balance a/c

CCP102.57 6
2007 Nov 03 Refund of income tax Rs.4,125.
 Cash comes in
 Record in cash column on debit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries 16,200
Balance 20,000 a/c
3 To Income
Tax a/c 4,125

CCP102.57 7
 2007 Nov 06 Cash Sales Rs. 14,150.
 Cash comes in
 Record in cash column on debit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening 20,000 Nov 2 By Salaries a/c 16,200
Balance
3 To Income Tax 4,125
a/c
6 To sales a/c 14,150

CCP102.57 8
 2007 Nov 14 Legal expenses Rs.250.
 Cash goes out
 Record in cash column on credit side
Double Column Cash Book (Cash & Discount)
Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening 20,000 Nov 2 By Salaries a/c 16,200
Balance 14 By Legal
3 To Income Tax 4,125 Expenses a/c 250
a/c
6 To sales a/c 14,150

CCP102.57 9
 2007 Nov 15 Sales tax paid Rs.1,650.
 Cash goes out
 Record in cash column on credit side
Double Column Cash Book (Cash & Discount)
Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening 20,000 Nov 2 By Salaries a/c 16,200
Balance 14 By Legal
3 To Income Tax 4,125 Expenses a/c 250
a/c By sales Tax a/c
15 1,650
6 To sales a/c 14,150

CCP102.57 10
2007 Nov 16 Received cash Rs. 20,500 from Ramu

 Cash comes inin fulldiscount

and settlement of his account.
allowed
 Record in cash column on debit side and discount in discount
allowed column
Double Column Cash Book (Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500

CCP102.57 11
2007 Nov 18 Interest on bank loan paid Rs. 1,250.
 Cash goes out
 Record in cash column on credit side
Double Column Cash Book(Cash & Discount)
Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250

CCP102.57 12
2007 Nov 20 Cash purchases Rs. 2,000.
 Cash goes out
 Record in cash column on credit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
20 By Purchases a/c 2,000

CCP102.57 13
2007 Nov 21 Cash deposited/remitted/paid into
bank Rs.4,000.
 Cash goes out
 Record in cash column on credit side
Double Column Cash Book(Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.

2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
20 By purchase a/c 2,000
21 By Bank a/c 4,000

CCP102.57 14
2007 Nov 21 Cash Sales Rs.15,000.
 Cash comes in
 Record in cash column on debit side

Double Column Cash Book (Cash & Discount)

Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.

2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
21 By Bank a/c 4,000

CCP102.57 15
2007 Nov 22 Commission received Rs. 650.

 Cash comes in
 Record in cash column on debit side
Double Column Cash Book(Cash & Discount)
Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000

CCP102.57 16
2007 Nov 23 Interest on investments received Rs.325.
 Cash comes in
 Record in cash column on debit side
Double Column Cash Book(Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000
23 To Interest a/c 325

CCP102.57 17
2007 Nov 24 Paid Rs. 9,925 to Sharma in full
settlement of his account for Rs.
10,000.
 Cash goes out and discount received
 Record in cash column on credit side and discount in
discount received column
Double Column Cash Book(Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000
23 To Interest a/c 325 24 By Sharma a/c 75 9,925

CCP102.57 18
 2007 Nov 26 Stationery Rs. 425.
 Cash goes out
 Record in cash column on credit side

Double Column Cash Book(Cash & Discount)

Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000
23 To Interest a/c 325 24 By Sharma a/c 75 9,925
26 By stationary a/c 425

CCP102.57 19
2007 Nov 29 Paid Rs. 5,050 to Pandu in full
settlement of his account for Rs. 5,100.
 Cash goes out and discount received
 Record in cash column on credit side and discount in
discount received column
Double Column Cash Book(Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000
23 To Interest a/c 325 24 By Sharma a/c 75 9,925
26 By stationary a/c 425
29 By Pandu a/c 50 5,050

CCP102.57 20
 2007 Nov 31 Rent received Rs. 4000.
 Cash comes in
 Record in cash column on debit side
Double Column Cash Book (Cash & Discount)
Dr. Cr.
Date Particulars L Discount Cash Date Particulars L Discount Cash
F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,0006 20 By purchase a/c 2,000
22 To commission a/c 50 21 By Bank a/c 4,000
23 To Interest a/c 325 24 By Sharma a/c 75 9,925
31 To Rent a/c 4,000 26 By stationary a/c 425
29 By Pandu a/c 50 5,050

CCP102.57 21
 Double Column Cash Book (Cash & Discount)
Dr. Cr.

Date Particulars L Discount Cash Date Particulars L Discount Cash

F Allowed Rs. F Allowed Rs.
2007 2007
Nov 1 To opening Nov 2 By Salaries a/c 16,200
Balance 20,000 14 By Legal
3 To Income Tax a/c 4,125 Expenses a/c 250
6 To sales a/c 14,150 15 By sales Tax a/c 1,650
16 To Ramu a/c 500 20,500 18 By Interest a/c 1,250
21 To sales a/c 15,000 20 By purchase a/c 2,000
22 To commission a/c 650 21 By Bank a/c 4,000
23 To Interest a/c 325 24 By Sharma a/c 75 9,925
31 To Rent a/c 4,000 26 By stationary a/c 425
29 By Pandu a/c 50 5,050
31 By balance c/d 30,350
500 78,750 175 78,750
2007
30,050
Dec 1 To Balance b/d

CCP102.57 22
Summary
 All Cash Receipts and Discounts Allowed are
recorded on the debit side of the Double Column
Cash Book.
 All Cash Payments and Discounts Received are
recorded on the credit side of the Double Column
Cash Book

CCP102.57 23
 Quiz
1. Credit Sales to Syamu Rs. 21,000 to be recorded
in cash book on
a) Debit Side
b) Credit Side
c) None of the above

CCP102.57 24
2. Credit Purchases to Rita Rs. 1,000 to be recorded in
cash book on
a) Debit Side
b) Credit Side
c) None of the above

CCP102.57 25
 Frequently Asked Questions
2. Prepare a two column cash book (Cash and Discount)
from the following particulars
2005 June 01 Opening Balance Rs. 10,000.
’’ 03 Paid to Mohan Rs. 775.
“ 04 Discount received Rs. 25
’’ 05 Cash sales Rs. 2,000
’’ 09 Cash Purchases Rs. 8,000.
’’ 10 Cash received from Chandra
Rs.8,125.Discount allowed Rs. 125
’’ 14 Paid into the bank Rs. 3000.
CCP102.57 26
2005 June 16 Cash received from Shyam Rs. 9,800.
Discount allowed Rs. 200.
’’ 17 Hirwan’s account of Rs. 9,000 was
settled with Rs. 9,100 (along with
interest)
’’ 19 Commission paid in cash Rs. 200.
’’ 20 Dividend received Rs. 500.
’’ 27 Paid in the bank Rs. 4,000.
’’ 30 Cash Sales Rs. 6,000.
ANS: Cash Balance Rs. 11,350; Discount received
Rs. 25; Discount allowed Rs. 325

CCP102.57 27
Thank you

CCP102.57 28