Finance
Accounting
Journalize the following transactions in the books of Ranjini and post them in two ledgers: 1 March 2021, commenced business with cash ₹15,000 and furniture; 1 March 2021, opened a bank account with HDFC, amount ₹50,000; 5 March 2021, cash purchase, amount ₹24,000?
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Journalize the following transactions in the books of Ranjini and post them in two ledgers: 1 March 2021, commenced business with cash ₹15,000 and furniture; 1 March 2021, opened a bank account with HDFC, amount ₹50,000; 5 March 2021, cash purchase, amount ₹24,000?
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Here's the journal entries and ledger postings for the transactions, formatted in HTML:
Journal Entries in the Books of Ranjini
| Date | Account | Debit (₹) | Credit (₹) |
|---|---|---|---|
| March 1, 2021 | Cash Account | 15,000 | |
| Furniture Account | (Amount of Furniture - Assuming ₹10,000 for illustration) 10,000 | ||
| Capital Account | 25,000 | ||
| (Being business commenced with cash and furniture) | |||
| March 1, 2021 | Bank Account (HDFC) | 50,000 | |
| Cash Account | 50,000 | ||
| (Being cash deposited into bank) | |||
| March 5, 2021 | Purchase Account | 24,000 | |
| Cash Account | 24,000 | ||
| (Being goods purchased for cash) | |||
Ledger Accounts
Cash Account
| Date | Particulars | J.F. | Amount (₹) | Date | Particulars | J.F. | Amount (₹) |
|---|---|---|---|---|---|---|---|
| March 1, 2021 | To Capital A/c | 15,000 | March 1, 2021 | By Bank A/c | 50,000 | ||
| March 5, 2021 | By Purchases A/c | 24,000 | |||||
| March 31, 2021 | By Balance c/d | (Balancing Figure) | |||||
| Total | Total |
Calculate the total for both sides and find the balancing figure to complete the ledger.
Bank Account (HDFC)
| Date | Particulars | J.F. | Amount (₹) | Date | Particulars | J.F. | Amount (₹) |
|---|---|---|---|---|---|---|---|
| March 1, 2021 | To Cash A/c | 50,000 | March 31, 2021 | By Balance c/d | 50,000 | ||
| Total | Total |
This account is already balanced in this example.
Notes:
- J.F. stands for Journal Folio, which is the page number in the journal where the entry is recorded.
- The amount of furniture used is assumed. Replace the bracketed statement with the real cost of the furniture.
- c/d stands for carried down.