Additional Exercises: Chapter 1 (Page 8)

Question No 1

Bank account

$ $

June 1 Farook - Capital 15 000 June 2 Premises 8 000

June 1 Amna Loan 5 000 June 3 Office furniture 2 000
June 5 Sales 1 500 June 4 Purchases 5 000
June 10 Sales 2 400 June 6 Insurance 600
June 12 Purchase returns 900 June 7 Motor Van 3 000
June 13 Insurance 100 June 8 Motor expenses 50
June 14 Office furniture 800 June 9 Purchases 2 000
June 10 Wages 400
June 11 Sales returns 1 200
June 13 Drawings 200
June 15 Loan 1 000

Capital account

$ $
June 1 Bank 15 000

Loan account

$ $
June 15 Bank 1 000 June 1 Bank 5 000

Premises account

$ $
June 2 Bank 8 000

Office furniture account

$ $
June 3 Bank 2 000 June 14 Bank 800
 Purchases account
$ $
June 4 Bank 5 000
June 9 Bank 2 000

Sales account

$ $
June 4 Bank 1 500
June 10 Bank 2 400

Insurance account

$ $
June 6 Bank 600 June 13 Bank 100

Motor van account

$ $
June 7 Bank 3 000

Motor expenses account

$ $
June 8 Bank 50

Wages account

$ $
June 10 Bank 400

Sales returns account

$ $
June 11 Bank 1 200

Purchase returns account

$ $
June 1 Bank 900
Drawings account

$ $
June 13 Bank 200
Question No 2

Debit account Credit account

1. Local taxes paid by cheque Taxes Bank
2. Bank pays interest to trader Bank Interest received
3. Sundry expenses paid by cheque Sundry expenses Bank
4. Postage and stationery paid by cheque Postage and Bank
stationery
5. Telephone bill paid by cheque Telephone Bank
6. Carriage inwards paid by cheque Carriage inwards Bank
7. Carriage outwards paid by cheque Carriage outwards Bank
8. Interest paid by cheque to brother in respect of Interest payable Bank
loan received
9. Interest paid to bank Interest payable / Bank
bank interest