Beruflich Dokumente
Kultur Dokumente
Group
Loans Liability
Bank Account
Furniture A/c
Fixed asset
Sundry Creditors
Advertisement A/c
Indirect Expense
Sundry Creditors
Indirect Expense
Machinery A/c
Fixed asset
Purchase A/c
Purchase Accounts
Sundry Creditors
Indirect Expense
Sales A/c
Sales Account
Purchase Accounts
Kishore A/c
Sundry Debtor
Sales Account
Drawings A/c
Capital Account
Salary A/c
Indirect Expense
2010 Oct:1
Oct: 2
Oct: 3
Page 1 of 6
Advertisement payable to Media Advertiser Rs. 1,00,000 (Inv. No. 1284, due days 10 days)
Press F7 for Journal Voucher
Oct: 4
Oct: 5
Purchased goods from Aroma Traders Rs. 85,000 (bill No: 108)
Press F9 (Purchase)
then Press F2 for change date
Cr Aroma Traders A/c
Dr Purchase A/c
Oct: 7
Oct: 8
Goods returned to Aroma traders Rs. 5,000 (agst Bill No: 108)
Press F11 features activate Use debit/credit note Yes
then Press Ctrl + F9 Debit Note for Purchase Return, then select
Dr Aroma Traders A/c
Cr Purchase Return A/c
give Bill details agst then select the bill no.
Oct:10
Oct: 11
Oct: 12
Page 2 of 6
Oct: 13
Oct:15
Oct: 16
Oct: 17
Oct: 18
Oct: 25
Cash withdrawn from SBT Bank for personal use Rs. 5,000
Press F4 for Contra Voucher
Press F2- Change Date
Oct: 30
Page 3 of 6
Example 2
M/s A &S Enterprise
Trial Balance as on 31st Dec 2014
Particulars
Stock as at 1st Jan 2014
Capital
Drawings
Cash
Bank A/c
Creditors A/c
Debtors A/c
Furniture A/c
Machinery A/c
Purchase A/c
Purchase return A/c
Sales A/c
Sales return A/c
Salary A/c
Discount A/c
Rent A/c
Insurance A/c
Carriage A/c
Bad debts A/c
Provision for bad debts A/c
Freight A/c
Debit
28,000
Credit
500,000
12,000
13,500
47,600
38,300
45,500
200,000
325,000
127,000
4,800
278,000
5,600
8,000
1,500
8,500
1,250
850
1,250
2,150
700
824,750
824,750
Adjustments
1.
Closing stock was valued at Rs. 34,000
2.
Outstanding Salary Rs. 2,000 and Outstanding Rent Rs. 1,000
3.
Prepaid Insurance Rs. 250
4.
Write off Rs. 500 as further Bad debts
5.
Provide provision for bad debts at 5% on debtors
6.
Depreciate Machinery at 10% and Furniture at 5%
Page 4 of 6
Page 5 of 6
the amount irrespect of bad debts charged every year against income. This attempt takes the form of maintaining a
provision designed to cover the loss of bad debts is called provision for bad debts. It created from sundry debtors.
So in the balance sheet it deducted from sundry debtors. It is an expense to the business, so it shown on the debit
side of profit & loss A/c. the journal entry is that,
Provision for bad debts A/c .Dr.
Sundry debtors
In the above example,
Dr Provision for bad debts A/c
Cr sundry debtors A/c
For calculating the amount of provision, press ALT+ C on the amount column, it will be activated the
calculator area. Here you should type (45500-500)*5% then press enter key then you will get the correct amount on
the amount column
Depreciate machinery @10% and furniture @5%
Depreciate means declining value of asset due to wear & tear or usage or passage of time. It is business
expenditure, so it shown on the debit side of the profit or Loss A/c. in the balance sheet, it is deducted from the
concerned asset. The journal entry is that,
Depreciation A/c Dr,
Fixed asset A/c
In the above example,
Dr. Depreciation on machinery A/c (under indirect expense)
Cr. Machinery A/c
For calculating amount press ALT+C on the amount column, then type 325000*10% then press enter key.
Depreciation on furniture
Dr. Press ALT +c depreciation on furniture A/c
press ALT +C 200000*5%
Cr. furniture A/c
Page 6 of 6