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Dear Teachers,

These slides have been prepared based on the NCERT syllabus to support you in teaching Plus One and Plus Two Accountancy and Computerised Accounting.

Please review and verify the content before using it in your classrooms. If you find any errors or have feedback, please let me know.

Mujeeb Rahiman C

HSST Commerce

GHSS Pattikkad

Malappuram Dt.

✉️ mujeebchemmala@gmail.com

9995983075 �

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Chapter - 3

Recording of Transactions - I

Ledger | Account | Posting | Balancing

illustration

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●

Collection of accounts

●

Principal book of account

●

Transactions of similar

nature are grouped in one

place in the form of an

account

●

Book of final entry or the

book of secondary entry

Ledger

The book in which various accounts are opened is called “Ledger”.

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Classification of ledger accounts

Assets

Capital

Liabilities

Revenues / Gains

Expenses / Losses

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Permanent Accounts

1. Asset A/c

2. Liability A/c

3. Capital A/c

Temporary Accounts

1. Revenue A/c

2. Expense A/c

All permanent accounts are balanced and carried forward to the next

accounting period.

All temporary accounts are closed at the end of accounting period and

transferred to Trading and Profit and Loss Account

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Date

Amount

Date

Amount

Particulars

...........................Account

Debit Side

Credit Side

Dr.

Cr.

J.F.

* Journal Folio (Page number in the journal)

Assets and Expenses INCREASE

Assets and Expenses DECREASE

Liability, Capital and Revenue DECREASE

Liability, Capital and Revenue INCREASE

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Record the following transactions in Journal.

(i) Commenced business with a capital of Rs. 6,00,000.

(ii) Rs. 4,50,000 deposited in a bank account.

(iii) Furniture for Rs. 2,30,000 purchased from Modern Furniture Mart

by paying Rs. 30,000 cash immediately.

(iv) Purchased goods worth Rs. 40,000 for cash and Rs. 45,000 on credit

from ABC Ltd.

(v) Paid a cheque of Rs. 2, 00,000 to Modern Furniture Mart

(vi) Sold goods to Mr. Sunil Rs. 70,000

(vii) Withdrawn by the proprietor Rs. 35,000 cash for personal use.

(viii) Returned goods to ABC Ltd. Rs. 2,000

(ix) Returned goods by Mr. Sunil Rs. 500

(x) Received Rs. 68,500 from Mr. Sunil in full settlement of his account.

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The process of recording transactions in journal is called “Journalising”.

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Journal

Date

Particulars

LF

Debit Amt

Credit Amt

01/04/2020

Cash Account

6,00,000

To Capital Account

Dr.

(Commenced business with cash)

01/04/2020

Bank Account

4,50,000

To Cash Account

Dr.

(Deposited cash in a bank account)

02/04/2020

Furniture Account

2,30,000

30,000

To Cash Account

Dr.

(Purchase of furniture by paying Rs. 30,000 cash and balance on a later date)

2,00,000

To Modern Furniture Mart A/c

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04/04/2020

Purchase Account

85,000

40,000

To Cash Account

Dr.

(Bought goods on cash and credit)

45,000

To ABC Ltd. A/c

10/04/2020

Modern Furniture Mart A/c

2,00,000

To Bank Account

Dr.

(Payment made to the supplier of furniture)

12/04/2020

Sunil Account

70,000

To Sales Account

Dr.

(Sold goods on credit)

15/04/2020

Drawings Account

35,000

To Cash Account

Dr.

(Withdrew cash for personal use)

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20/04/2020

ABC Ltd. A/c

2,000

To Purchase Returns A/c

Dr.

(Goods returned to ABC Ltd.)

22/04/2020

Sales Returns A/c

500

To Sunil Account

Dr.

(Goods returned by Sunil)

17,42,000

Total

30/04/2020

Cash Account

68,500

69,500

To Sunil Account

Dr.

(Cash received from sunil in full settlement

Discount Account

1,000

Dr.

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The process of recording transactions in ledger is called “Posting”.

Posting

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

01/04/2020

Cash Account

6,00,000

To Capital Account

Dr.

Capital Account

600000

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Date

Amount

Date

Amount

Particulars

Capital Account

Dr.

Cr.

J.F.

01/04/2020

Cash Account

6,00,000

To Capital Account

Dr.

01/04/20

Cash Account

600000

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Date

Amount

Date

Amount

Particulars

Bank Account

01/04/20

Dr.

Cr.

J.F.

Cash Account

450000

01/04/2020

Bank Account

4,50,000

To Cash Account

Dr.

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/2020

Bank Account

4,50,000

To Cash Account

Dr.

01/04/20

Bank Account

450000

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Date

Amount

Date

Amount

Particulars

Furniture Account

02/04/20

Dr.

Cr.

J.F.

Cash Account

30000

02/04/2020

Furniture Account

2,30,000

30,000

To Cash Account

Dr.

2,00,000

To Modern Furniture Mart A/c

02/04/20

Modern Furniture Mart A/c

200000

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/20

Bank Account

450000

02/04/2020

Furniture Account

2,30,000

30,000

To Cash Account

Dr.

2,00,000

To Modern Furniture Mart A/c

02/04/20

Furniture Account

30000

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Date

Amount

Date

Amount

Particulars

Modern Furniture Mart Account

Dr.

Cr.

J.F.

02/04/20

Furniture Account

200000

02/04/2020

Furniture Account

2,30,000

30,000

To Cash Account

Dr.

2,00,000

To Modern Furniture Mart A/c

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Date

Amount

Date

Amount

Particulars

Purchase Account

Dr.

Cr.

J.F.

04/04/20

Cash Account

40000

04/04/2020

Purchase Account

85,000

40,000

To Cash Account

45,000

To ABC Ltd. A/c

04/04/20

ABC Ltd. A/c

45000

Dr.

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/20

Bank Account

450000

02/04/20

Furniture Account

30000

04/04/2020

Purchase Account

85,000

40,000

To Cash Account

45,000

To ABC Ltd. A/c

04/04/20

Purchase Account

40000

Dr.

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Date

Amount

Date

Amount

Particulars

ABC Ltd. Account

Dr.

Cr.

J.F.

04/04/20

Purchase Account

45000

04/04/2020

Purchase Account

85,000

40,000

To Cash Account

45,000

To ABC Ltd. A/c

Dr.

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Date

Amount

Date

Amount

Particulars

Modern Furniture Mart Account

Dr.

Cr.

J.F.

02/04/20

Furniture Account

200000

10/04/2020

Modern Furniture Mart A/c

2,00,000

To Bank Account

Dr.

10/04/20

Bank Account

200000

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Date

Amount

Date

Amount

Particulars

Bank Account

01/04/20

Dr.

Cr.

J.F.

Cash Account

450000

10/04/2020

Modern Furniture Mart A/c

2,00,000

To Bank Account

Dr.

10/04/20

Modern Furniture Mart A/c

200000

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Date

Amount

Date

Amount

Particulars

Sunil Account

12/04/20

Dr.

Cr.

J.F.

Sales Account

70000

12/04/2020

Sunil Account

70,000

To Sales Account

Dr.

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Date

Amount

Date

Amount

Particulars

Sales Account

Dr.

Cr.

J.F.

12/04/20

Sunil Account

70000

12/04/2020

Sunil Account

70,000

To Sales Account

Dr.

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Date

Amount

Date

Amount

Particulars

Drawings Account

Dr.

Cr.

J.F.

15/04/20

Cash Account

35000

15/04/2020

Drawings Account

35,000

To Cash Account

Dr.

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/20

Bank Account

450000

02/04/20

Furniture Account

30000

04/04/20

Purchase Account

40000

15/04/2020

Drawings Account

35,000

To Cash Account

Dr.

15/04/20

Drawings Account

35000

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Date

Amount

Date

Amount

Particulars

ABC Ltd. Account

Dr.

Cr.

J.F.

04/04/20

Purchase Account

45000

20/04/2020

ABC Ltd. A/c

2,000

To Purchase Returns A/c

Dr.

20/04/20

Purchase Return A/c

2000

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Date

Amount

Date

Amount

Particulars

Purchase Return Account

Dr.

Cr.

J.F.

20/04/20

ABC Ltd. A/c

2000

20/04/2020

ABC Ltd. A/c

2,000

To Purchase Returns A/c

Dr.

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Date

Amount

Date

Amount

Particulars

Sales Return Account

Dr.

Cr.

J.F.

22/04/20

Sunil Account

500

22/04/2020

Sales Returns A/c

500

To Sunil Account

Dr.

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Date

Amount

Date

Amount

Particulars

Sunil Account

12/04/20

Dr.

Cr.

J.F.

Sales Account

70000

22/04/2020

Sales Returns A/c

500

To Sunil Account

Dr.

22/04/20

Sales Returns A/c

500

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/20

Bank Account

450000

02/04/20

Furniture Account

30000

04/04/20

Purchase Account

40000

15/04/20

Drawings Account

35000

30/04/2020

Cash Account

68,500

69,500

To Sunil Account

Dr.

Discount Account

1,000

Dr.

30/04/20

Sunil Account

68500

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Date

Amount

Date

Amount

Particulars

Discount Account

30/04/20

Dr.

Cr.

J.F.

Sunil Account

1000

30/04/2020

Cash Account

68,500

69,500

To Sunil Account

Dr.

Discount Account

1,000

Dr.

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Date

Amount

Date

Amount

Particulars

Sunil Account

12/04/20

Dr.

Cr.

J.F.

Sales Account

70000

22/04/20

Sales Returns A/c

500

30/04/2020

Cash Account

68,500

69,500

To Sunil Account

Dr.

Discount Account

1,000

Dr.

30/04/20

Cash Account

68500

30/04/20

Discount Account

1000

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Date

Amount

Date

Amount

Particulars

Cash Account

01/04/20

Dr.

Cr.

J.F.

Capital Account

600000

01/04/20

Bank Account

450000

02/04/20

Furniture Account

30000

04/04/20

Purchase Account

40000

15/04/20

Drawings Account

35000

30/04/20

Sunil Account

68500

668500

555000

668500

113500

30/04/20

Balance c/d

113500

01/05/20

Balance b/d

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Date

Amount

Date

Amount

Particulars

ABC Ltd. Account

Dr.

Cr.

J.F.

04/04/20

Purchase Account

45000

20/04/20

Purchase Return A/c

2000

45000

43000

01/05/20

Balance b/d

45000

43000

30/04/20

Balance c/d

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Date

Amount

Date

Amount

Particulars

Sunil Account

12/04/20

Dr.

Cr.

J.F.

Sales Account

70000

22/04/20

Sales Returns A/c

500

30/04/20

Cash Account

68500

30/04/20

Discount Account

1000

70000

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Date

Amount

Date

Amount

Particulars

Bank Account

01/04/20

Dr.

Cr.

J.F.

Cash Account

450000

10/04/20

Modern Furniture Mart A/c

200000

450000

200000

250000

01/05/20

Balance b/d

450000

250000

30/04/20

Balance c/d

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All permanent accounts are balanced and carried forward to the next

accounting period.

All temporary accounts are closed at the end of accounting period and

transferred to Trading and Profit and Loss Account

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MUJEEB RAHIMAN C

HSST COMMERCE

GHSS PATTIKKAD

MALAPPURAM DT