Question No 04 Chapter No 6 - D.K Goal Class 11

Question No 04 Chapter No 6

04. Pass entries for the following transactions in the books of M/s Karthikeyan & Co. of Chennai:

2019
Jun.10	Purchased goods from Ravichandran of Madurai of the list price of 2,00,000 at 25% trade discount at 4% cash discount on the purchase price of goods. Paid CGST and SGST @ 9% each. Paid the entire amount by cheque on the same date.
Jun.25	Sold goods to Ramalingam of Erode of the list price of 3,75,000 at 20% trade discount and 2% cash discount on sale price. Charged CGST and SGST @ 9% each. The full amount was received by cheque on the same date.

The solution of Question No 04 Chapter No 6: –

In the Books of Radhika Traders
Date	Particulars		L.F.	Debit	Credit
2019
Jun.10	Purchases A/c	Dr.		1,50,000
	Input CGST A/c	Dr.		13,500
	Input SGST A/c	Dr.		13,500
	To Bank A/c				1,71,000
	To Discount received A/c				6,000
	(Being Purchased from Mehta Bros.)

Jun.25	Bank A/c	Dr.		3,48,000
	Discount Allowed A/c	Dr.		6,000
	To Sale A/c	.			3,48,000
	To Output CGST A/c				27,000
	To Output SGST A/c				27,000
	(Being Purchased goods and paid by cheque)

Mar.15	Advertisement A/c	Dr.		40,000
	Input CGST A/c	Dr.		3,600
	Input SGST A/c	Dr.		3,600
	To Cash A/c				47,200
	(Being goods sold to Ramalingam @20)

Working Note: –

Calculation of the amount paid on purchases

List price of goods purchased	=	2,00,000
Less: trade discount @ 25%	=	50,000
	=	1,50,000
Add: Input CGST @ 9% 27,000
Add: Output SGST @ 9% 27,000	=	54,000
	=	3,54,000
Less: Cash discount @ 2%	=	6,000
Amount payable	=	3,48,000

Calculation of the amount received on sales

A list price of goods purchased	=	3,75,000
Less: trade discount @ 20%	=	75,000
	=	3,00,000
Add: Input CGST @ 9% 13,500
Add: Output CGST @ 9% 13,500	=	27,000
	=	1,77,000
Less: Cash discount @ 4%	=	2,400
Amount payable	=	1,71,000

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Also, Check out the solved question of all Chapters: –

Chapter 1 Evolution of Accounting & Basic Accounting Terms
Chapter 2 Accounting Equations
Chapter 3 Meaning and Objectives of Accounting
Chapter 4 Double Entry System
Chapter 5 Books of Original Entry – Journal
Chapter 6 Accounting for Goods and Service Tax (GST) (Coming soon)
Chapter 7 Books of Original Entry – Cash Book (Coming soon)
Chapter 8 Books of Original Entry – Special Purpose Subsidiary Books (Coming soon)
Chapter 9 Ledger (Coming soon)
Chapter 10 Trial Balance and Errors (Coming soon)
Chapter 11 Bank Reconciliation Statement (Coming soon)
Chapter 12 Depreciation (Coming soon)
Chapter 13 Bills of Exchange (Coming soon)
Chapter 14 Generally Accepted Accounting Principles(GAAP)
Chapter 15 Bases of Accounting
Chapter 16 Accounting Standards and International Financial Reporting Standard(IFRS) (Coming soon)
Chapter 17 Capital and Revenue
Chapter 18 Provisions and Reserves
Chapter 19 Final Accounts (Coming soon)
Chapter 20 Final Accounts – With Adjustments (Coming soon)
Chapter 21 Errors and their Rectification (Coming soon)
Chapter 22 Accounts from Incomplete Records – Single Entry System (Coming soon)
Chapter 23 Accounts of Not-for-Profit Organisations (Coming soon)
Chapter 24 Computerised Accounting System (Coming soon)
Chapter 25 Introduction to Accounting Information System (Coming soon)

Check out the Accountancy Class +1 by D.K. Goal (Arya Publication) from their official Site.