ASSIGNMENT

Unit IV: Subsidiary Book

1. Prepare a simple cash book of Mr. Shriram from the following details:
2011
Feb.
1. Balance of cash Rs 65,500.
2. Brought additional capital Rs 12,000.
4. Received from Nilesh on account Rs 3,800.
Purchased goods from United Ltd. Rs 16,000 and paid half the amount
7.
immediately.
9. Received commission from Aarti Traders Rs 2,650.
10. Paid to Prithviraj Traders on account Rs 17,800.
13. Purchased stationery for office use Rs 2,460.
17. Received rent Rs 4,900.
20. Paid Rs 1,750 for insurance premium.
22. Sold goods for cash Rs 13,800.
25. Purchased 10% debentures Rs 20,000.
27. Paid telephone bill Rs 3,000 and electricity bill Rs 2,340.
28. Deposited into bank all cash in excess of Rs 11,000
Dr.
Cr.
Date Reciepts R. LF Amount Date Payments v. LF Amount
No No No No
. . . .
2019 2019
Feb-01 Feb-
To balance b/d 65500 07 By Purchase A/c 8000
(Cash purchase)
Feb-02 To capital A/c 12000 Feb- By prithviraj Traders A/c 17800
10
(Additional cash (Cash paid)
introduced)

Feb-04 To Nilesh A/c 3800 Feb- By stationary A/c 2460

13
(Cash received) (Stationary purchased)

Feb-09 To Commision A/c 2650 Feb- By insurance premium 1750

20 A/c
(Commission (Insurance paid)
received)

Feb-17 To Rent A/c 4900 Feb- By investment A/c 20000

25
(Rent received)
Feb- By telephone charge 3000
27 A/c
Feb-22 To Sale A/c 13800
(Cash sales) Feb- By electricity Charge A/c 2340
27

Feb- By Bank A/c 36300

28

Feb- By Balance c/d 11000

28

102650 102650
2. What is Subsidiary Book? Explain types of Subsidiary book?

Subsidiary book may be defined as a book of prime entry in which transactions of a particular category
are recorded. In other words, in order to save time and energy, the transactions which are of similar
character are recorded in separate books, these are called subsidiary books or subdivision of journal. A
number of subsidiary books are opened to record all business transactions

 Cash Book:

 Purchase Book:

 Sales Book:

 Purchase Return Book:

 Sales Return Book