Ledger

On checking the Bank Pass Book it was found that it showed an overdraft Rs. 5,220 as on 31st March, 2019 while as per Ledger it was different. The following differences were noted : (i) Cheques deposited but not yet credited by the bank Rs. 6,000 Cheques dishonoured and debited by the bank but not given effect ot it in the Ledger Rs. 800 (iii) Bank charges debited by the Debit Memo not received fro the bank Rs. 50 (iv) Interest on overdraft excess credited in the Ldger Rs. 200 (v) Wrongly credited by the bank to account , deposite of some other party Rs. 900 (vi) Cheques issued but not presented for payment Rs. 400

Following are the Ledger balances on 31st March, 2019: Building Rs. 5,00,000, Furniture Rs. 2,00,000, Debtors Rs. 1,00,000, Creditors Rs. 80,000, Bank Overdarft Rs. 40,000, Capital Rs. 7,30,000, and Cash Rs. 50,000. Journalise the above to open the accounts in the books of account for the financial year 2019-20.

Ashu and Harish are partners sharing profits and losses as 3 : 2 . They decided to dissolve the firm on 31st March 2019. Their Balance Sheet on the above date was : Ashu is to take over the building at ₹ 95,000 and Machinery and Furniture is taken over by Harish at value of ₹ 80,000 . Ashu agreed to pay Creditor and Harish agreed to meet Bank overdraft . Stock and investments are taken by both partner in profit-sharing ratio. Debtors realised for ₹ 46,000 , expenses of realisation amounted to ₹ 3,000 . Prepare necessary Ledger Accounts .

The original cost of furniture amounted to Rs 4,000 and it is decided to write off 5% on the original cost as Depreciation at the end of each year. Show the Ledger Account as it will appear during the first four years. Show also how the same account will appear if it was decided to write off 5% p.a. on the diminishing balance of the asset each year.