Question No 44 Chapter No 13 – D.K Goal 11 Class

Question No 44 Chapter No 13

Additional Question

44. A owes B 40,000. On 1st April, 2018, he accepts a bill for Rs 38,000 for 3 months in full settlement. B immediately endorses the bill to his creditor C. On 1st July, 2018, A becomes bankrupt and B receives first and final dividend of 30% paise in the Rs. Write up the necessary journal entries and A’s account in B’s books.

The solution of Question No 44 Chapter No 13: –

In the books of A
Date	Particulars		L.F.	Debit	Credit
2017
Apr.1	B A/c	Dr.		40,000
	To Bill Payable A/c				38,000
	To Discount Received A/c				2,000
	(Being bills drawn by B and received discount of Rs 2,000)
Jul.1	Bill Payable A/c	Dr.		38,000
	Discount Received A/c	Dr.		2,000
	To Cash A/c				12,000
	To Deficiency A/c				28,000
	(Being 30% cash paid to B and 70% is bad debts )

In the books of B
Date	Particulars		L.F.	Debit	Credit
2017
Apr.1	Bill Receivable A/c	Dr.		38,000
	Discount allowed A/c	Dr.		2,000
	To B A/c				40,000
	(Being bills drawn on A and discount allowed to him is Rs 2,000)
Apr.1	C A/c	Dr.		38,000
	To Bill Receivable A/c				38,000
	(Being bill endorsed to C)
Jul.1	Cash A/c	Dr.		38,000
	Bad debts A/c	Dr.		2,000
	To Bill Receivable A/c				12,000
	To Discount A/c				28,000
	(Being 30% cash paid to B and 70% is bad debts )

https://tutorstips.com/bills-payable/

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

D K Goel – New ISC Accountancy -(Class 11 – ICSE)- Solution

• 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.