Professional Documents
Culture Documents
The book of original entry is the book in which a transaction is recorded first.
The book of original entry is also known as the day book, journal or subsidiary
book.
Types of books of Original entry:
Sales Journal/ Sales Day Book: For recording credit sale of goods only.
Cash sales of goods and sale of assets, either on credit or for cash, are not
recorded in this journal.
Date
Amount
$
Q. 3
Prepare Sales Journal from the following transactions for the month of January
2003:
2003
January
1
Sold goods on credit to Samson:
200 Tube Lights @ $10 each less 10% trade discount.
4
Sold goods on credit to Anson:
100 Table fans @ $100 each less 20% trade discount.
5
Cash Sales $ 7,000
7
Sold goods to Soson:
Goods costing $4,000 less 25% trade discount
10
Sold a Motor Van $ 15,000
15
Cash sales $5,000
18
Credit sales to Alby $2,500 less $ 500 trade discount
20
Sold an asset to X for $ 10,000
21
Sold goods on credit to Adil agencies 500 Usha Fans @ $150 each
less 10% trade discount
30
Bought goods on credit from Lee $ 1,000
31
Credit sales to Samson $4,500 less $500 trade discount.
Q. 4
Prepare the sales journal from the following for the month of March 2002:
2002
March
1
Credit sales to Mohamed:
200 Ball point pens $25 each less 10% trade discount
5
Credit sales to Anitha:
1000 reams of white papers @ $50 each ream less 25% trade discount
9
Credit sales to Soothy $5,000 less $ 500 trade discount
15
Sold goods on credit to Sathya:
400 ruled note books @ $20 each less 25% trade discount
24
Credit sales to Milton $4,500
31
Sold on credit to Allen goods after deducting trade discount $3000
Post the entries to the ledger accounts on 31st March 2002
Invoice
No.
Ledger
Folio
Amount
$
Q. 4
Q. 5
Prepare Purchase Journal from the following transactions for the month
of January 2003:
2003
January
1
Bought goods on credit from Alwin:
800 Items @ $20 each, less 25% trade discount.
4
Bought goods on credit from Alby:
400 items @ $100 each, less 10% trade discount
5
Bought goods for Cash $ 5,000
7
Bought goods on credit from Amal:
400 items @ $30 each less 33 1/3 % trade discount
15
Bought Furniture for $ 10,000
16
Bought goods on credit from Vimal:
Goods costing $25,000 less $ 5,000 trade discount
26
Credit purchases of goods from:
A.Allen $4,000 less trade discount of the cost.
28
Purchases goods for cash $ 10,000
30
Bought goods on credit from Adil:
Goods costing $2,000 net of trade discount.
Following are the credit purchases of goods in a business for the month of April
2003
2003
April 1
Bought goods on credit from Bilton:
500 Chairs @ $1,000 each less 15% trade discount
5
Cash purchases $ 2,000
7
Bought 50 tables @ $500 each from Albert on credit net of trade
discount
14
Bought on credit from Bitson: 100 mattresses at $2,000 each less
25% trade discount.
21
Bought on credit from Betsy 100 beds @ $1,500 each less 10%
trade discount
25
Purchases a motor car on credit from X for $ 10,000
29
Credit Purchase from Binu, goods costing $20,000 less $ 2,000
Trade discount
30
Bought goods on credit from Bobby :- 100 fancy chairs @ $500
each less 30 % trade discount.
30
Credit purchases from Bimal $5,600 net of trade discount.
30
Purchased goods for cash $ 2,000
Post the items to the concerned ledger accounts on 30th April 2003
Returns Inwards Journal/ Sales Returns Day Book:
For recording only the return of goods from the customers.
Date
Ledger
Folio
Amount
Amount
Q. 6
Q. 7
Q. 8
The document which is necessary for making entries in the sales journal is the
(a) purchases Invoice (b) voucher (c) sales Invoice (d) none of these
Q. 9
Q. 10 The debit note is a document which is used for making entries in the
(a) sales Journal
(b) purchases Journal
(c) returns Inwards Journal (d) returns Outwards Journal
Q. 11 The sales journal contains a list of
(a) cash sales (b) credit sales (c) credit purchases (d) cash purchases.
Q. 12 Asha sold goods on credit to Jisha for $2000 net of trade discount.
In which journal will this transaction be recorded by Jisha ?
(a) The sales returns journal
(b) The purchases book
(c) The purchases returns book
(d) The cash book
Q. 13 The credit note number column is provided in the
(a) sales book
(b) sales returns book
(c) purchases returns book (d) purchases book.
Q. 14 The total of sales returns book is transferred to the
(a)
debit side of the sales A/C in the general ledger
(b)
credit side of the sales A/C in the sales ledger
(c)
credit side of the sales A/C in the general ledger
(d)
none of these.
Q. 15 The proper journal is the other name of the
(a) general ledger
(b) general journal
(c) sales journal
(d) sales ledger
Q. 16 In which book is the debit note number column shown?
(a) Returns inwards book
(b) Returns outwards book
(c) General journal
(d) None of these
Q. 17 Goods are returned to Anil by Sunil. In which book will Sunil record this
transaction?
(a) Sales journal
(b) Returns inwards book
(c) Returns outwards book (d) General journal
Q. 18 Anil sold the following goods to one of his customers on credit.
200 sets of door mats @ $200 each less 25% trade discount.
100 mattress @$ 250 each, no trade discount
What is the amount with which Anil will record this transaction?
(a) $50000 (b) $53000
(c) $ 55000
(d) $ 58000
Q. 19 Which of the following is wrong?
(a)
The sales journal is a book of original entry
(b)
Cash sales of goods are recorded in the cash book.
(c)
Capital is the difference between fixed assets & current assets.
(d)
The purchases book is for recording credit purchase of goods on
7)
8)
9)
10)
11)
12)
13)
14)
15)
16)
17)
18)
Q. 28 Prepare the returns inwards and returns outwards journals from the following for
the month of March 2002:2002 March
1
Returned goods to Mathew $ 250
4
Rinu returned goods to us $ 450
8
Returned goods to Sojan $1000
15
Received goods returned by Sunil $800
21
Returns outwards to Minu $500
31
Returns inwards from Tinu $700
Show the postings to the ledger accounts on 31st March 2002
Q. 29
Prepare returns inwards journal and returns outwards journal form the following
transactions for the month of November, 2002:2002 Nov
1 Returns inwards from Sanal $ 250
4 Returned to Amal, goods at list price $3000 less 20% trade discount.
7 Goods returned to Manu $ 600 list price, less 10% trade discount.
9 Bhimal returned goods at net of trade discount $ 450
15 Adil returned goods to us $ 200
19 Goods returned to Sunil $ 300
25 Returns outwards to Samuel $ 500
30 Returns inwards from Excell $ 1500
Show the postings to the ledger accounts on 30th Nov 2002
Q. 30
The following transactions have been taken from the books of a business
2003
January
1
Credit sales to K. Ball: 400 items @ $25 each, less 25% trade discount.
4
Credit purchases from M. Muthu 400 items @ $50 each
less 20% trade discount
6
Returns inwards from K. Ball 20 items (out of sales on 1st Jan)
7
Returns outwards to M. Muthu: 40 items (out of purchases on 4th Jan)
10
Credit sales to P.Poter 1,000 items @ $40 each less 10% trade discount.
13
Credit Purchases from T. Terry 300 items @ $30 each
less 25% trade discount.
14
Returns inwards from P.Poter: 100 items (out of goods sold on 10th
January)
15
Returns outwards to T.Terry 100 items (out of goods bought from him
on 13th Jan.)
18
Credit sales to L.Lane $3,500 net of trade discount.
20
Credit purchases from S.Sita $7,000 net of trade discount.
24
Credit sales to K. Ball $10,000 less $1,000 trade discount
25
Credit purchases from M.Muthu $12,000 less trade discount th of cost
26
Returns inwards from L Lane $500 net of trade discount.
27
Returns outwards to S.Sita $1,500 net of trade discount.
28
Credit sales to P.Poter list price $ 8,000 less 20% trade discount.
31
Credit purchases from T.Terry list price $ 4,000 less trade discount 10%
Prepare appropriate journals for recording the above transactions for the month
of January 2003 and show the postings to the ledger on 31st Jan 2003.
Q. 31
31
Record the above transactions in the appropriate journals and post them to the
ledger accounts on 31st March 2002.
Q. 32
Q. 33
The following transactions are taken from the books of a sole trader for
the month of January 2003
2003 January
1
Credit sales to Nisha:
20 sets of tube lights @ $100 each
30 table fans @ $300 each. Less 25% trade discount
4
Bought on credit from Asha:
100 colour television sets @ $1,000 each
200 table lamps @ $100 each. All less 20% trade discount
9
Returned goods by Nisha:
10 table fans of wrong colour (sold on 1st January)
15 Returned to Asha 10 colour televisions (bought on 4th January)
20 Credit sales to Jisha:
300 radios @ $ 400 each. Less 10% trade discount
150 sets of tube lights @ $100 each. No trade discount.
24 Bought on credit from Usha:
200 clocks @ $ 200 each, 50 table lamps @ $150 each.
No trade discount.
26 Returns inwards from Jisha 30 radios (out of sales on 20th January)
31 Returned to Usha 5 clocks (out of purchase on 24th January)
You are required to prepare the necessary journals and post the entries to the
ledger accounts for the month of January 2003
Prepare:
a)
b)
c)
d)
14
16
21
25
27
28
29
30
31
Q. 34
The following transactions are occurred in the business of Gilberth , a sole trader
for the month of 2003 January:2003 Jan.
1 Sold goods on credit to A.Allen:200 dozen red pens @ $ 60 per dozen
50 pairs of shoes @ $150 each
Less 20% trade discount
4 Bought goods on credit from B.Bill:400 rulers @ $ 10 ea ; 50 dozen pencils @ $5 each
Less $ 100 trade discount
12 Returns inwards from A.Allen 10 pairs of damaged shoes
18 Returns outwards to B.Bill: 50 broken rulers
24 Sold on credit to C.Clint:
1000 staplers @ $20 each less 10% Trade discount
500 erasers @ $5 each, no trade discount
28 Returns inwards from C.Clint : 100 staplers not up to the standard
29 Bought on credit from D.Darling
250 ball point pens @ $15each less 20% trade discount
100 dozen pencils @ $ 5 each less 10% trade discount
31 Returns outwards to D.Darling: 25 ball point pens
You are required to prepare the necessary journals for recording the above
transactions for the month of January 2003 and show the postings to the ledger
accounts on 31st January 2003
Q. 35 The following transactions are occurred in the books of a sole trader for the
month
of December, 2002:2002 Dec
1 Credit sales to Mahesh 2000 items @ $ 10 each less 20% trade discount.
3 Credit purchases from Mann 400 items @ $ 25 each, less 25% trade
discount.
5 Credit purchases from Mathew $20000, less 25% trade discount
7 Credit sales to Martin 600 items @ $ 50 each, less 5% trade discount
8 Returns inwards from Mahesh 100 items @ $10 each less 20 % trade
discount
10 Returns outwards to Mann: 50 items @ $ 25 each, less 25% trade
discount.
12 Returns outwards to Mathew $ 5000 less 25% trade discount
14 Returns inwards from Martin: 25 items @ $ 50 each, less 5% trade
discount.
18 Credit purchases from Manju $ 8000, net of trade discount.
20 Credit sales to Mithun $ 6000 less $600 trade discount.
24 Returns outwards to Manju $2000, net of trade discount.
26 Returns inwards from Mothun $1000, less $ 60 trade discount.
29 Credit purchase from Manu $ 4000
30 Credit sales to Mahesh 500 items @ $10 each, less $500 trade discount
You are required to prepare the appropriate journals for recording the above
transactions for the month of December 2002 and show the transfer of entries to
the concerned ledger accounts