Accounts on a company transactions

accounts project class 11

1. A
PROJECT REPORT
“ACCOUNTANCY ”
Submitted to
CBSE AFFI .NO:430299

Under the Guidance of
Ms. Rethika Sridhar

Prepared by:
SR.NO. ROLL NO. NAME SIGNATURE
1 Anupam Verma


_______________ _______________
Teacher signature Principal signature

2. INTRODUCTION TO ACCOUNTING
Accounting can be defined as a process of reporting, recording,
interpreting and summarizing economic data. The introduction of
accounting helps the decision-makers of a company to make
effective choices, by providing information on the financial status
of the business
Accountancy act as a language of finance.
OBJECTIVES OFACCOUNTING
i. MAINTAINING ACCOUNTING RECORDS: -
The First objectives of accounting are to maintain systematic
record of transactions.
DETERMINING PROFITED LOSS: - The second main
objectives of accounting is to determine correct net profit and by
preparing profit & loss A/C.
iii. DETERMINING FINANCIAL POSITION: -
Accounting helps to determine financial position of business by
preparing balance sheet.
ADVANTAGE OF
ACCOUNTING
i. Provides financial information about the business to
interested parties, likes, net Profit, Assets and liabilities.
ii. Helps in comparison of financial results: -comparison
of its own results of different results
-comparison of financial results with other firms.

3. iii. Helps in decision making by providing relevant
information.
iv. Accounting information can be used as evidence
in legal & taxation matter
v. Providing information to interest parties and user.
vi. Accounting record business records in
systematic manner vii. Accounting helps in preparation of
financial statement like PG2 A/C balance sheet.
DISADVANTAGES
(limitations) OF
ACCOUNTING
i. Accounting records only those transaction which can
be measures in the terms of money. It ignores non-
monetary transaction.
ii. Accounting information is sometimes based on
estimates which may be unrealistic.
iii. Window dressing may lead to faulty results.
Window dressing means. Manipulation of accounts and
show easy picture of the financial statements.
iv. Accounting information can be manipulated and
thus cannot be considered as true test of performance.

4. TRANSACTIONS
Mr. M.S Patel decided to start a TRAVEL WORLD business
named SAMSONITE Sales(p) Ltd.
A Trading Company On 1st April 2020 he invested a sum
amount of for this purpose took a building costing and spent for
its overhaul interior and fittings separately to purchase the
opening stock which is almost amounted to he appointed ICICI
Bank and secured loan to the extent of 75% Of the cost of stock it
was agreed that the loan will be repaid
I four equal instalments as follows
At the end of 1st year: 90,000+36000 for the interest
At the end of 2nd year. 90,000+27,000 for the interest
At the end of 3rd year 90,000+18,000 for the interest
At the end of 4th year 90,000+9,000 for the interest
After commencing the TRAVEL WORD on 1st April, 2020, he
had spent some amount
OF 10,000 for electric fittings on 5th April 2020 and on 16th
April he placed on fixed deposit amount at bank by transferring
from current account 100,000.
ON 18th April he spent 40,000 for getting pamphlets printed and
distributed. ON 18 April goods costing 20,000 were Sold TO Mr.
Kapoor at 40% trade discount on 10th July 2020 goods of 500
were returned to Mr. Kapoor on 19th July 2020. Transportation
charges for 100 octroi 150 was paid in cash on 28 July 2020 trade
expense charged paid in cash 500.
On 30th July 2020 miscellaneous expenses charged for
newspaper, tea, coffee etc. 800. ON 15" September 2020 for
10,000 furniture purchased bags from company for 5,000 on 1
October 2020 on credit on 10 October 2020 was made by check
for 800 was issued to petty cashier on 1 November 2020 and on

5. 1st December 2020 the company gave 10% commission on sales
up to' 4 lakhs on 15th January 2021 Mr. Kapoor who owned us
10,000 were declared insolvent and 25 paisa in a rupee is
received at the end Of year i.e. on 31st march 2021interest 0 loan
is paid deprecation on building at 20% on salary paid to
employees 10,000 cash sales for on credit to debtors who paid
90,000 cash and rest.
BOOK OF M/S PATEL TRAVEL WORLD
JOURNAL
DATE PARTICULAR L.F AMOUNT(R) AMOUNTB)
2020
Apr-01 Cash A/c Dr. 300000
Stock A/c Dr. 480000
Building A/C Dr. 400000
To Capital A/c 1180000
(Commencement Of
Business)


Apr-Ol Furniture and Fitting
A/C
Dr. 100000
To cash A/c 100000
(Interior furniture &
Fitting for the office)


Apr-05 Electric Fittings A/c Dr. 10000
To cash A/c 10000

6. (Electric Fitting for the
Office)


Apr-16 Fixed Deposit A/c Dr. 100000
To Bank A/c 100000
(Fixed Deposit by the
Bank)


Apr-18 Advertisement
Expense A/c
Dr. 40000
To Cash A/c 40000
(Pamphlets Printed &
Distributed)


Apr-18 Cash A/c Dr. 23400
Discount Allowed A/c Dr. 2600
To Sales A/c 26000
(Cash Sales At 30% profit
& 10% cash discount)


Apr-28 Purchases A/c Dr. 72000
To Bank A/c 72000
(Purchases Being Made
by Bank)

7. Apr-30 Bank A/c Dr. 9000
To Purchases Return
A/c
9000
(Goods returned and
payment to bank)


May-Ol Bank A/c Dr. 180000
To Cash A/c 180000
(Deposited Cash into
bank)


May-05 Loss by Theft A/c Dr. 15000
To Purchases A/c 5000
To Cash A/c 10000
(Goods And Cash
being loss by theft)

Carried Forward 1732000 1732000

Brought Forward 1732000 1732000
May-
08
Bank Charges A/c Dr. 50
To Bank A/c 50
(Bank Charges by Bank)

8. May-
IO
Investment Ac Dr. 50000
To Cash Ac 50000
(Investment in Reliance Shares)

May-
IO
Salary Ac Dr. 5000
To Cash A/C 5000
(Salary Being Paid in Cash)

May-
15
Bank A/c Dr. 8500
Discount Allowed A/c Dr. 500
To Sales A/c 9000
(Being Sales made at 10% T.D &
500 C.D.)


May-
20
Drawings A/c Dr. 1500
To Cash A/c 1500
(Withdrawn for Life Insurance)

May-
21
Drawings A/c Dr. 500
To Bank A/c 500

9. (Being Income Tax paid)

May-
30
Interest A/c Dr. 1000
To Bank A/c 1000
(Interest Charged By bank)

Jun-
05
Drawings A/c Dr. 1000
To Purchases A/c 1000
(Goods Withdrawn for Personal
Use)


Jun-
05
Cash A/c Dr. 5000
To Sales A/c 5000
Being Sales Made on
Car


Jun-
12
Advertising Expenses A/c
Dr.
1000
To Bank A/c 1000
(Advertising Expenses Paid by
Check)

10. Jul-07 Mr. Kapoor A/c Dr. 9000
To Sales A/c 9000
(Goods sold on credit at 10% trade
discount)

Carried Forward 1815050 1815050

Brought Forward 1815050 1815050
Jul-IO Sales Return A/C Dr. 450
To Mr. Kapoor A/c 450
(Goods of list price 500 Return
Back)


Jul-19 Transportation Charges Ac
Dr.
100
Octroi Ac Dr. 150
To Cash Ac 250
(Transportation & Octroi Charges
in Cash)


-30 Miscellaneous Expenses A/ c
Dr.
10000
To Cash Ac 10000
( Miscellaneous expenses occurred
)

11. Sep-
15
Furniture & Fittings Ac
Dr.
8000
To Cash Ac 8000
(Furniture Being Purchase in Cash)

Oct-
Ol
Purchases Ac Dr. 5000
To Samsonite 5000
(Purchase From Company Credit)

Oct-
IO
Samsonite Ac Dr. 5000
To Bank Ac 5000
Payment To
company by check


Nov-
Ol
Petty Cashier Ac Dr. 800
To Bank A/C 800
(Issued A check to petty Cashier)

Dec-
Ol
Cash A/c Dr. 40000

12. To Commission Ac 40000
(Company Gave 10 % commission
on sales)


Jan-15 Cash Ac Dr. 2500
Bad Debts A / C Dr. 7500
To Mr. Kapoor A/ C 10000
(Mr. Kapoor being insolvent &
25% Received)


Mar-
31
Interest on loan Ac Dr. 36000
To Bank Loan Ac 36000
Interest due
on loan


Mar-
31
Bank loan Ac Dr. 126000
To Bank A/ c 126000
(Payment on I " bank loan)
Carried Forward 2056550 2056550


Brough Forward 2056550 2056550

13. Mar-
31
Depreciation Ac Dr. 30000
To Building A / C 30000
Depreciation charged
on Building

Mar-
31
Salary Ac Dr. 10000
To Cash Ac 10000
Salary Being Paid to
Employee’s


Mar-
31
Cash A/ c Dr. 90000
Debtors A/ C Dr. 310000
To Sales Ac 400000
(Sales on Cash & Credit Bases)

Mar-
31
Bank A/ C Dr. 90000
To Bank Loan Ac 90000
(Bank Loan Taken to purchase of
loan)

2630850 2630850

14. Cr.
LEDGER
BANK A/c
Dr.
DATE PARTICULAR J. F AMOUNT («) DATE PARTICULAR J.F AMOUNT («)
2020 2020
Apr-30 To purchase return
A/c
9000 Apr-16 By Fixed deposit A/C 100000
May-OI To cash A/C 180000 Apr-28 By Purchases A/C 72000
May-15 To sales AIC 8500 May-08 By Bank Charges
A/C
50
Jun-IO To Dividend A/C 1000 May-20 By Drawings A/C 2000
Mar-31 To Balance C/d 108850 May-30 B Interest A/C 500
Jun-12 By Advertisement A/C 1000
Oct-10 By Samsonite A/C 5000
Nov-OI By Petty Cashier A/C 800
Mar-31 By Bank Loan A/C 126000

307350 307350

Loss BY THEFT A/c
DATE PARTICULAR J.F AMOUNT (R) DATE PARTICULAR J.F AMOUNT (R)
2020 2020
Mar-31 To sales A/C 310000 Mar-31 By Balance C/d 310000

15. Cr.
Dr. Cr.

DATE PARTICULAR J.F AMOUNT(
X)
DATE PARTICULAR J.F AMOUNT(x)
2020 2020
May-05 To Purchases A/C 5000 Mar-31 By Profit & Loss A/C 15000
May-31 To Cash A/C 10000

BANK LOAN A/c
Dr. Cr.
DATE PARTICULAR J.
F
AMOUNT (R) DATE PARTICULAR J.F AMOUNT (R)
2020 2020
Mar-31 To Bank A/c 126000 Mar-31 By Profit & Loss A/c 36000
Mar-31 By Bank A/c 90000




DEBTORS A/c
Dr. Cr.
Dividend AС
DAT E PART ICULAR J. F AMOUNT В) DAT E PART ICULAR J.F AMOUNT В)
Jul-05 2020
Mar-31 То Proft & Loss AС 1000 Jun-10 ву вапк А/С 1000
1000 1000

DEPRICIATION МС
Cr.
DAT E PART ICULAR AMOUNT В) DAT E PART ICULAR J.F AMOUNT В)
2020 2020
Mar-31 То Building Мс 80000 Маг-З1 Ву Proft & Loss МС 80000
80000 80000

CASH Мс
Cr.

16. Cr.
DAT E PART ICULAR AMOUNT В) DAT E PART ICULAR J.F AMOUNT В)
2020 2020
Apr-01 то capital Мс 300000 Арг-01 Ву Furniture МС 100000
А r-18 то saIes МС 23400 А r-05 В Electric Fittin s 10000
Jun-05 то sales А/с 5000 Apr-18 Ву Advertisement 40000
Dec-01 То Commission МС 40000 мау-01 ву вапк МС 180000
2003 мау-О5 ву Loss ву тек Мс 10000
Jan-05 То Мг. kapoor 2500 Мау-10 Ву Investment А/С 50000
Mar-31 то Sales А/С 90000 Мау-10 ву sala Мс 5000
Jul-19 Ву Transportation МС 100
Jul-19 ву Octroi Мс 150
Jul-28 Ву Trade Expense МС 500
Аид-зо Ву Miss. Expense МС 800
sep-15 В Furniture МС 10000
маг-31 Ву Salary МС 10000
Маг-З1 Ву Balance СД 44350
460900

PURCHASES A/c
Dr.
DATE PARTICULAR AMOUNT DATE PARTICULAR J.
F
AMOUNT
2020 2020
Apr-02 To Bank A/C 72000 Apr-05 By Loss Theft A/C 5000
Oct-Ol To Samsonite A/C 5000 May-05 By Drawings A/C 1000
2003
Mar-31 B Tradin A/C 71000
77000 77000

INTEREST A/c
Dr. Cr.
DATE PARTICULAR AMOUNT B) DATE PARTICULAR J.F AMOUNT (R)
2020 2020
Ma -30 To Bank A/C 500 Mar-31 B Profit & Loss A/C 36500
May-31 To Bank Loan A/C 36000

17. Cr.

SALARY A/c
Dr. Cr.
DATE PARTICULAR AMOUNT
(R)
DATE PARTICULAR AMOUNT (R)
2020 2020
May-IO To cash A/C 5000 Mar-31 By Profit &Loss A/C 15000
Mar-31 To Cash A/C 10000
15000 15000

SALES RETURN A/c
Dr. Cr.
DATE PARTICULAR AMOUNT
(R)
DATE PARTICULAR J.F AMOUNT
(R)
2020 2020
Aug-IO To Mr. Kapoor 450 Mar-31 B Tradin A/C 450
450 450

ADVERTISE EXPENSES A/c
Dr.
DATE PARTICULAR J.F AMOUNT X) DATE PARTICULAR J.F AMOUNT (Ț
2020 2021
Apr-18 To Cash AIC 40000 Mar-31 By Profit & Loss
AIC
41000
Jun-12 To Bank A/c 1000
41000 41000

TRADE EXPENSE A/c
Dr. Cr.
DATE PARTICULAR AMOUNT (k) DATE PARTICULAR J.F AMOUNT (R)
2020 2020
Jul-28 To cash A/c 500 Mar-31 By Profit & LossA/C 500


MISCELLANEOUS EXPENSE A/c
Dr. Cr.
DATE PARTICULAR J.F AMOUNT (Ț DATE PARTICULAR J.F AMOUNT (R)

18. Cr.
2020 2020
Oct-30 To cash A/c 800 Mar-31 By Profit & LossA/C 800
: 1 1

DISCOUNT ALLOWED A/c
Dr. Cr.
DATE PARTICULAR J.F AMOUNT (Ț DATE PARTICULAR J.F AMOUNT (R)
2020 2021
Apr-18 To sales A/C 2600 Mar-31 By Profit & LossA/C 3100
May-15 ToSales A/C 500
3100 3100

PURCHASE RETURN A/c
Dr. Cr.
DATE PARTICULAR J.F AMOUNT (x) DATE PARTICULAR J.F AMOUNT (Ț
2020 2020
Mar-31 To Tradin A/C 9000 A r-30 B Bank 9000
9000 9000

19. BANk CHARGES Мс
Cr.
DAT E PART ICULAR AMOUNT
DAT E PART ICULAR J.F AMOUNT
2020 2020
Mar-08 То ВапКА/С 50 Mar-31 Ву Proft & Loss МС 50
50 50

OCTROl МС
Cr.
DAT E PART ICULAR AMOUNT В) DAT E PART ICULAR

2020 2020
Jul-19 то cash МС 150 Mar-31 Ву Proft & Loss МС 150
150 150

OPENING STOCk МС
Cr.
ИТЕ
PART lCULAR
АМОИГЧТ В) DAT E PART lCULAR J.F AMOUNT В)
2020 2020
Apr-01 То Capital А/С 480000 Mar-31 Ву Trading МС 480000
480000 480000

SALES Мс
Cr.
DAT E PART ICULAR AMOUNT В) DAT E PART ICULAR J.F AMOUNT В)
2020 2020
Mar-31 ToTradingA/C 449000 Apr-18 ву cash МС 23400
Apr-18 Ву Discount AIlowed МС 2600
Мау-15 В ВапКА/С 8500
Мау-15 Ву Discount Allowed МС 500
Jun-05 ву cash МС 5000
Jun-07 В Mr.kapoor МС 9000
Mar-31 ву cash МС 90000
Mar-31 Ву Debtor А/С 310000
449000 449000

INVESTMENT А/с
ИТЕ
PART ICULAR
АМОИГЧТ
DAT E PART ICULAR J.F AMOUNT К)
2020 2020
Mar-10 то cash А/С 50000 Маг-З1 Ву Balance СД 50000
50000 50000

20. Cr.

DRAWlNG МС
Cr.
DAT E PART ICULAR J.F АМОИГЧТ В) DAT E PART ICULAR J.F AMOUNT В)
2020 2020
Мау-20 то ВапКА/С 1500 Mar-31 Ву Capital А/С 3500
Мау-21 то ВапКА/С 1000
Jun-05 То Purchase МС 1000
350Q 350Q

BUILDING А/с
DAT E PART ICULAR J.F АМОИГМТ В) DAT E PART lCULAR J.F АМОИГЧТ В)
2020 2020
Oct-10 то вапк Мс 5000 Oct-01 Ву Purchases МС 5000
5000 5000

21. Cr.
Dr. Cr.
DAT E PART ICULAR J.F АМОИГЧТ
DAT E PART ICULAR J.F АМОИГЧТ К)
2020 2021
Apr-01 То CapitaI А/С 400000 Маг-З1 Ву Depriciation МС 80000
Маг-З1 Ву Balance СД 320000
400000 400000

CAPlTAL МС
Cr.
DAT E PART ICULAR J.F АМОИГЧТ В) DAT E PART ICULAR J.F AMOUNT В)
2020 2020
Маг-З1 То Balance СД 1180000 Арг-01 ву cash МС 300000
Apr-01 ву stock Мс 480000
А г-01 В Buildin МС 400000
1180000 1180000

SAMSONITE COMPANY Мс
Dr. Cr.
PETTY CASHIER A/c
Dr.
DATE PARTICULAR F AMOUNT DATE PARTICULAR J.F AMOUNT x)
2020 2020
Nov-Ol To Bank A/C 800 Oct-Ol By Balance C/d 800
800

COMMISSION A/c
Dr. Cr.
DATE PARTICULAR F AMOUNT DATE PARTICULAR J.F AMOUNT R)
2020 2020
Mar-31 To Profit &Loss A/C 40000 Dec-Ol By cash A/C 40000


BAD DEBTS A/c
Dr. cr.
DATE PARTICULAR J.F AMOUNT
(R)
DATE PARTICULAR J.F AMOUNT (R)
2020 2020
Jan-15 To Mr.Kapoor A/C 7500 Mar-31 By Profit & Loss A/C 7500
7500 7500

FURNITURE & FITTINGS A/c

22. Cr.
Dr. Cr.
DATE PARTICULAR J.F AMOUNT DATE PARTICULAR J.F AMOUNT
2020 2021
Apr-Ol To cash A/C 100000 Mar-31 By Balance C/d 110000
Sep-15 To cash A/C 10000
1000 1000

ELECTRIC FITTINGS A/c
Dr. cr.
DATE PARTICULAR J.F AMOUNT
(X)
DATE PARTICULAR J.F AMOUNT (x)
2020 2021
Apr-05 To cash A/C 10000 Mar-31 By Profit & Loss A/C 10000
10000 10000

FIXED DEPOSIT A/c
Dr.
DATE PARTICULAR AMOUNT DATE PARTICULAR J.F AMOUNT
2020 2021
Apr-16 To Bank A/c 100000 Mar-31 By Balance C/d 100000
100000 100000

MR. KAPOOR A/c
Dr. Cr.
DATE PARTICULAR AMOUNT
(X)
DATE PARTICULAR AMOUNT
(X)
2020 2020
Jul-07 To Sales A/C 9000 Jul-IO By Sales Return A/C 450
Mar-31 To Balance C/d 1450 Jan-15 By cash A/c 2500
Jan-17 By Bad Debts A/C 7500
1045Q 10450

TRANSPORTATION CHARGES A/c
Dr. cr.
DATE PARTICULAR J.F AMOUNT DATE PARTICULAR J.F AMOUNT
2020 2020
Jul-19 To cash A/c 100 Mar-31 By Profit & Loss A/C 100
100 100

23. TRIAL BALANCE
OF H.S KOCHAR AS ON 31 MARCH, 2021
NAME OF ACCOUNT BALANCE
Dr. B)
BALANCE
cr. B)
Cash in hand 44350
purchase Account 71000
Building Account 320000
Opening Stock 480000
Capital account 1180000
Furniture & fitting account 110000
Advertisement Account 41000
Bank account ( overdraft ) 19350
Electric fitting 10000
Fixed deposit 100000
Discount allowed account 3100
Sales account 449000
Return outward
Dividend account 1000
Mr. kapoor account 1450
Commission received 40000
Loss by theft 15000
Salary account 15000

24. Cr.
24 | P a g e

Bank Charges 50
Investment account 50000
Drawings account 3500
Interest charged by bank 36500
Return inward account 450
Transportation account 100
Octroi charges 150
Trade expense account 500
Miscellaneous Expense
account
800
Petty cashier account 800
Bad debt account 7500
Bank loan account 90000
Depreciation account 80000
Debtor account 310000
1699800 1699800

25. Cr.
25 | P a g e

TRADING & PROFIT/LOSS A/c
FOR THE YEAR ENDED 31st MARCH, 2021
Expenses AMOUNT
B)
Revenue AMOUNT
B)
To Opening Stock 480000

To Purchases 71,000 By sales 449000

Less return outward 9000 Less return inward 450 448550
Less loss by theft 5000 57000 By closing stock 273600
To octroi 150

To balance c/d 185000


To work manager o/s
commission 18500

To gross profit 166500 By gross profit 166500
By interest on fixed depos 31406
To discount Allowed 3100 By interest on investment 5000
To loss by theft 15,000 By interest on Drawing 7029
Add further 500 15500 By Divdend 1000
salary 15,000
By Provision for Discount on
Less prepaid 5,000 10000 Debtors 173694
To bank charges 50 By commission 40000
To interest by bank 36500 Add Accrued Commission 22600
To transportation expense 100

To miscellaneous expense 800

To trade expenses 500

To bad debts 7500
Add new provision 1500 23000

To depreciation 80000

To provision for discount on

debtors 5890

26. Cr.
26 | P a g e

To advertisement expense 4100

To net profit transferred 42689

to Capital account

1129379
1129379

BALANCE SHEET
AS ON 31st March 2021
LIABILITIES Amount ASSETS AMOUNT
capital 1180000
Cash In Hand 44350
Add Net Profit 42689 Investment 50000
Less Drawing 4200 1218489 Add Interest 5000 55000

Creditor 1450 Petty Cashier 800
Less Provision For Debtors 310000
Discount 29 1421 Less Provision 15500
Less Discount 5840 288610
Workmen Manager ONS 1850

Commission Inshurance Claim 4500
Bank Overdraft 19350 Closing Stock 273600
Building 320000
Furniture & Fitting 110000
Electric Fittings 10000
Fixed Deposit 100000 128250
Add Interest 8000
Accured Commission 1000
Perpaid Salary 5000


1241110
1241110

27. Cr.
27 | P a g e










TRADING AND P&l
REVENUE AND
EXPENSES

28. Cr.
28 | P a g e