Accounting & Financial Management

Practice Questions:
Prepare Accounting Equations and Journal entries for the transactions in Question 1 and Question 2.

Question # 1:

January 1 Shazia commenced business with cash, Rs. 10,00,000.

January 2 Deposited cash into bank, Rs. 7,50,000.
January 3 Purchased building for Rs. 2,00,000 and payment is made by cheque.
January 4 Purchased goods for cash, Rs. 50,000.
January 6 Purchased goods on credit, Rs. 1,00,000 from XYZ & Company.
January 6 Paid transportation charges for goods purchased, Rs. 5,000.
January 6 Cash purchase of furniture for office, Rs. 50,000.
January 10 Sold goods for cash, Rs. 1,75,000.
January 12 Sold goods on credit to Saima, Rs. 60,000.
January 17 Withdrew from the bank, Rs. 30,000 for private use.
January 20 Paid sundry expenses, Rs. 10,000 in cash.
January 25 Paid salaries of office staff, Rs. 20,000 in cash.
January 31 Paid rent, Rs. 20,000 by cheque.

Question # 2:

April 1 Zahid commenced business with cash, Rs. 20,00,000.

April 2 Deposited into bank, Rs. 17,00,000.
April 3 Bought goods for cash, Rs. 2,00,000.
April 4 Bought furniture for office for cash, Rs. 60,000.
April 10 Draw cash from bank for office, Rs. 50,000.
April 13 Goods sold to euro store on credit, Rs. 1,00,000.
April 15 Bought goods from Nestle on credit, Rs. 1,10,000.
April 18 Paid utility bills, Rs. 30,000.
April 19 Received cash from Euro store, Rs. 95,000.
April 25 Paid salary, `20,000.
April 28 Paid Nestle for the goods bought earlier, Rs. 1,06,000.
April 30 Paid rent, Rs. 20,000.
April 30 Purchased stationery in cash, Rs. 5,000.