Record the following transactions in the Journal and post them into ledger and

prepare a Trial Balance..

2005

Oct 1st : Neel started business with a capital of 80,000

3rd : Bought goods from Karan on credit 20,000
4th : Sold goods to Tarun 25,000
5th : Cash purchases 25,000
7th : Cash sales 15,000
9th : Goods retuned to Karan 2,000
10th : Bought furniture for 15,000
11th : Cash paid to Karan 12,000
12th : Goods returned by Tarun 3,000
14th : Goods taken by Neel for personal use 3,000
15th : Cash received from Tarun 12,000
16th : Took loan from Parul 30,000
17th : Salary paid 5,000
18th : Bought stationery for 1,000
19th : Amount paid to Parul on loan account 18,000
20th : Interest received 4,000
 Journal in the books of Mr. Neel
for the period from Oct

V/R Amount Amount

Date Particulars L/F
No. (Dr) (Cr)

Oct – Cash a/c Dr – 80,000

1st To Capital a/c – 80,000
[Started business with cash.]

3rd – Goods/stock a/c Dr – 20,000

To Karan a/c – 20,000
[Being the value of stock purchased from
karan]

4th – Tarun a/c Dr – 25,000

To Goods/stock a/c – 25,000
[Being the value of stock sold to Mr.Tarun]

5th – Goods/stock a/c Dr – 25,000

To Cash a/c – 25,000
[Being the value of stock purchased for
cash]

7th – Cash a/c Dr – 15,000

To Goods/stock a/c – 15,000
[Being the value of stock sold for cash]

9th – Karun a/c Dr – 2,000

To Goods/stock a/c – 2,000
[Being the value of stock returned to
Mr.Karan]
10th – Furniture a/c Dr – 15,000
To Cash a/c – 15,000
[Being the value of furniture purchased for
cash]
 Journal in the books of Mr. Neel
for the period from Oct

V/R Amount Amount

Date Particulars L/F
No. (Dr) (Cr)

– Karan a/c Dr – 12,000

11th To Cash a/c – 12,000
[Being the amount paid to Mr. Karan]

12th – Goods/stock a/c Dr – 3,000

To Tarun a/c – 3,000
[Being the value of stock returned by
Mr.Tarun ]

14th – Drawings a/c Dr – 3,000

To Goods/stock a/c – 3,000
[Being the amount of stock taken by Neel
for personal use.]

15th – Cash a/c Dr – 12,000

To Tarun a/c – 12,000
[Being the amount received to Mr. Tarun]

16th – Cash a/c Dr – 30,000

To Loan from parul a/c – 30,000
[Being the cash received from Mr. Parul as
loan]

17th – Salaries a/c Dr – 5,000

To Cash a/c – 5,000
[Being the amount paid for Salaries]
18th – Stationery a/c Dr – 1,000
To Cash a/c – 1,000
[Being Stationery purchased ]
 Journal in the books of Mr. Neel
for the period from Oct

V/R Amount Amount

Date Particulars L/F
No. (Dr) (Cr)

19th – Loan from parul a/c Dr – 18,000

To Cash a/c – 18,000
[Being the amount paid to Mr. Parul for
repayment of loan]

20th – Cash a/c Dr – 4,000

To Interest a/c – 4,000
[Being the interest received in cash ]
 General Ledger
[Books of Mr. Neel]

Cash a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

01/10/_5 To Capital a/c – 80,000 05/10/_5 By Goods/stock a/c – 25,000

07/10/_5 To Goods/stock a/c – 15,000 10/10/_5 By Furniture a/c – 15,000
15/10/_5 To Tarun a/c – 12,000 11/10/_5 By Karan a/c – 12,000
16/10/_5 To Loan from parul – 30,000 17/10/_5 By Salaries a/c – 5,000
20/10/_5 a/c – 4,000 18/10/_5 By Stationery a/c – 1,000
To Interest a/c 19/10/_5 By Loan from parul – 18,000
31/10/_5 a/c – 65,000
By Balance c/d

1,41,000 1,41,000

01/11/_5 To Balance b/d – 65,000

Capital a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

31/10/_5 To Balance c/d – 80,000 01/10/_5 By Cash a/c – 80,000

80,000 80,000

01/11/_5 By Balance b/d – 80,000

 Goods/stock a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

03/10/_5 To Karan a/c – 20,000 04/10/_5 By Tarun a/c – 25,000

05/10/_5 To Cash a/c – 25,000 07/10/_5 By Cash a/c – 15,000
12/10/_5 To Tarun a/c – 3,000 09/10/_5 By Karan a/c – 2,000
14/10/_5 By Drawings a/c – 3,000
31/10/_5 By Balance c/d – 3,000

48,000 48,000

01/11/_5 To Balance b/d – 3,000

Karan a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

09/10/_5 To Goods/stock a/c – 2,000 03/10/_5 By Goods/stock a/c – 20,000

11/10/_5 To Cash a/c – 12,000
31/10/_5 To Balance c/d – 6,000

20,000 20,000

01/11/_5 By Balance b/d – 6,000

 Tarun a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

04/10/_5 To Goods/stock a/c – 25,000 12/10/_5 By Goods/stock a/c – 3,000

15/10/_5 By Cash a/c – 12,000
31/10/_5 By Balance c/d – 10,000

25,000 25,000

01/11/_5 To Balance b/d – 10,000

Furniture a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

10/10/_5 To Cash a/c – 15,000 31/10/_5 By Balance c/d – 15,000

15,000 15,000

01/11/_5 To Balance b/d – 15,000

Drawings a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

14/10/_5 To Goods/stock a/c – 3,000 31/10/_5 By Balance c/d – 3,000

3,000 3,000

01/11/_5 To Balance b/d – 3,000

 Loan from parul a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

19/10/_5 To Cash a/c – 18,000 16/10/_5 By Cash a/c – 30,000

31/10/_5 To Balance c/d – 12,000

30,000 30,000

01/11/_5 By Balance b/d – 12,000

Salaries a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

17/10/_5 To Cash a/c – 5,000 31/10/_5 By Balance c/d – 5,000

5,000 5,000

01/11/_5 To Balance b/d – 5,000

Stationary a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

18/10/_5 To Cash a/c – 1,000 31/10/_5 By Balance c/d – 1,000

1,000 1,000

01/11/_5 To Balance b/d – 1,000

Interest a/c
Dr Cr

Date Particulars J/F Amount Date Particulars J/F Amount

31/10/_5 To Balance c/d – 4,000 20/10/_5 By Cash a/c – 4,000

4,000 4,000

01/11/_5 By Balance b/d – 4,000

 Trial Balance

Trial Balance of Mr. Neel as on 31/10/05

Amount Amount
Particulars L/F
(Dr) (Cr)

Cash a/c – 65,000 –

Capital a/c – – 80,000
Goods/stock a/c – 3,000 –
Karan a/c – – 6,000
Tarun a/c – 10,000 –
Furniture a/c – 15,000 –
Drawings a/c – 3,000 –
Loan from parul a/c – – 12,000
Salaries a/c – 5,000 –
Stationery a/c – 1,000 –
Interest a/c – – 4,000

Total 1,02,000 1,02,000