EDUCARE (A Unique Coaching Centre)

3. ISMAIL MADAN LANE, KOLKATA – 700073

CONTACT – SHABBIR AHMED
MOBILE : 9883027293/7003508493

RULES FOR DEBIT AND CREDIT AS PER MODERN APPROACH

TYPES OF ACCOUNT
CAPITAL ASSET LAIBILITY EXPENSE INCOME
INCREASE- Cr INCREASE- Dr INCREASE- Cr INCREASE- Dr INCREASE- Cr
DECREASE- Dr DECREASE- Cr DECREASE- Dr DECREASE- Cr DECREASE- Dr

1. Started business with cash Rs 50,000.

2. Started business with machinery Rs 20,000.
3. Started business with cash Rs 60,000 and machinery Rs 40,000.
4. Opening balance of assets:
Land and Building Rs 50,000
Plant and Machinery Rs 20,000
Furniture and Fixture Rs 10,000
Bills Receivable Rs 5,000
Sundry Debtors Rs 15,000
Opening balance of liabilities:
Loan Rs 40,000
Sundry Creditors Rs 10,000
Bills Payable Rs 3,000
General Reserve Rs 2,000.
5. Deposited cash into bank Rs 10,000.
6. Opened a bank account with Rs 20,000.
7. Withdrew from bank for office use Rs 1,000.
8. Withdrew from bank for personal use Rs 500.
9. Withdrew cash for personal use Rs 250.
10. Withdrew cash for office use Rs 100.
11. Withdrew goods for personal use Rs 2,000.
12. Withdrew stationery for personal use Rs 150.
13. Distributed goods as free sample Rs 1,500.
14. Bought goods for cash Rs 10,000.
15. Bought goods from Rakesh for cash Rs 10,000.
16. Bought goods from Rakesh on credit Rs 10,000.
17. Bought goods from Rakesh Rs 10,000.
18. Bought goods by cheque Rs 10,000.
19. Bought goods worth Rs 10,000 less trade discount @ 20%.
20. Bought goods worth Rs 10,000 less cash discount @ 10%.
21. Bought goods worth Rs 10,000 less trade discount @ 10% and cash discount @ 5%.
22. Bought machinery for cash Rs 20,000.
23. Bought furniture from R. C. Bros. on credit Rs 5,000.
24. Bought stationery by cheque Rs 2,000.
25. Sold goods for cash Rs 25,000.
26. Sold goods to Manish for cash Rs 25,000.
27. Sold goods to Manish on credit Rs 25,000.
28. Sold goods to Manish Rs 25,000.
29. Sold goods by cheque Rs 25,000.
30. Sold goods worth Rs 20,000 less trade discount @ 20%.
31. Sold goods worth Rs 20,000 less cash discount @ 10%.
32. Sold goods worth Rs 20,000 less trade discount @ 10% and cash discount @ 5%.
33. Sold machinery for cash Rs 15,000.
34. Sold furniture to P. Mathur on credit Rs 8,000.
35. Sold office equipment and received a cheque Rs 3,000.
36. Received cash from Mukesh Rs 2,000.
37. Received a cheque from Bhola Rs 5,000.
38. Received cash from Sanjay Rs 4,900 in full settlement of Rs 5,000.
a. Received a cheque from Shyam Rs 5000.
b. Deposited Shyam’s cheque into bank next day
39. Paid to Anil in cash Rs 3,000.
40. Paid to Bimal by cheque Rs 6,000.
41. Paid to Kamal in cash Rs 9,500 in full settlement of Rs 10,000.
42. Returned goods to Rakesh 1,000.
43. Returned goods from Manish Rs 2,000.
44. Borrowed loan from bank Rs 15,000.
45. Given loan to Armaan Rs 10,000 in cash.
46. Paid wages in cash Rs 2,000.
47. Paid salary by cheque Rs 5,000.
48. Paid interest on loan in advance Rs 500.
49. Rent due but not yet paid Rs 7,000.
50. Received commission in cash Rs 200.
51. Received interest on investment by cheque Rs 1,000.
52. Received commission in advance Rs 500.
53. Interest due but not yet received Rs 700.
54. Charged depreciation on machinery Rs 500.
55. For bad debts
56. For provision for bad debts
57. For bad debts recovery
58. For sale or disposal of any old assets at a profit.
59. For sale or disposal of any old assets at a loss.
60. For abnormal loss of goods (loss by fire/theft)
61. For drawing of a bill of exchange on debtors.
62. For acceptance of a bill of exchange.