Question

Journalise the following transactions in the books of Sanjay General Stores:

2019 June

1 Started business with cash ₹ 50,000, Bank ₹ 1,00,000, Goods worth ₹ 50,000.

5 Purchased goods from Mohan on credit ₹ 80,000 at 10% Trade Discount.

9 Sold goods to Urmila ₹ 30,000 at 5% Trade Discount.

12 Paid into Dena Bank ₹ 40,000.

15 Goods worth ₹ 5000 were distributed as a free samples.

22 Paid for Commission ₹ 5,000 to Anand.

24 Received ₹ 28,000 from Urmila in full settlement of her account by Debit Card.

29 Paid for Advertisement ₹ 9,000.

30 Purchased Laptop for ₹ 20,000 @ 28% GST and amount paid by NEFT.

Answer 1

Journal of Sanjay General Stores
Date	Particulars	L.F. No.	Debit Amount (t)	Credit Amount (t)
2019
June 1	Cash A/c     ...Dr.		50,000
	Bank A/c     ...Dr.		1,00,000
	Goods A/c   ...Dr.		50,000
	To Capital A/c			2,00,000
	(Being the business started with cash, bank balance and stock of goods)
5	Purchases A/c     ...Dr.		72,000
	To Mohan's A/c			72,000
	(Being the goods purchased on credit at 10% trade discount)
9	Urmila's A/c     ... Dr.		28,500
	To Sales A/c			28,500
	(Being goods sold on credit @ 5% trade discount)
12	Dena Bank A/c    ...Dr.		40,000
	To Cash A/c			40,000
	(Being cash paid into Dena Bank)
15	Advertisement A/c   ...Dr.		5,000
	To Goods distributed as free samples A/c.			5,000
	(Being the goods distributed as free samples)
22	Commission A/c    ...Dr.		5,000
	To Cash A/c			5,000
	(Being commission paid to Anand)
24	Bank A/c            ...Dr.		28,000
	Discount A/c      ...Dr.		500
	To Urmila's A/c			28,500
	(Being amount received through debit card and discount allowed)
29	Advertisement A/c      ...Dr.		9,000
	To Cash A/c			9,000
	(Being advertisement expenses paid in cash)
30	Laptop/Computer A/c      ...Dr.		20,000
	Input CGST A/c        ...Dr.		2,800
	Input SGST A/c      .... Dr.		2,800
	To Bank A/c			25,600
	(Being Laptop purchased with 28% GST and amount paid by NEFT)
	Total		4,13,600	4,13,600

Working Note:

5th June 2019:

Calculation of Trade discount

Purchased goods for ₹ 80,000 @ 10% Trade discount

Trade discount = `80,000 × 10/100 `= ₹ 8,000

Net Purchase Price = 80,000 – 8,000 = ₹ 72,000

24th June 2019:

Discount allowed to Urmila = Amount due – Amount received

= 28,500 – 28,000

= ₹ 500

30th June 2019:

Calculation of CGST and SGST

Price of Laptop = ₹ 20,000 @ 28% GST.

CGST = (Price of Laptop) × Rate of CGST

= `20,000 × 14/100`

= ₹ 2,800

SGST = (Price of Laptop) × Rate of SGST

= `20,000 × 14/100`

= ₹ 2,800