11. The Textile mill sells its product to the garment manufacturer for
cash Rs. 50,000 and collects VAT @ 8%
Date
|
Particulars
|
L.F
|
Amount
(Debit)
|
Amount
(Credit)
|
11
|
Cash A/c Dr
To Sales A/c
To VAT (Output) A/c
(Being Cloth sold and VAT
collected)
|
54,000
|
50,000
4000
|
12. Textile mill deposit the difference of amount of VAT paid and VAT collected into the VAT Department.
Solution:
Date
|
Particulars
|
L.F
|
Amount
(Debit)
|
Amount
(Credit)
|
12
|
VAT A/c Dr
To Cash/ Bank A/c
|
3,200
|
3,200
|
13.
Goods lost by fire 5,000. Insurance
company admitted claim of Rs. 3,000
Date
|
Particulars
|
L.F
|
Amount
(Debit)
|
Amount
(Credit)
|
13
|
Loss by Fire
A/c
Dr
To Purchases A/c
(Being goods lost by fire)
Insurance co. (Claim) Dr
Profit & loss A/c Dr
To Loss
by fire A/c
(Being the lost by fire and claim
admitted by the insurance company)
|
5,000
3,000
2,000
|
5,000
5,000
|
14. Rs. 1000 due from Sohan are now a bad
debts
Date
|
Particulars
|
L.F
|
Amount
(Debit)
|
Amount
(Credit)
|
14
|
Bad Debt
A/c
Dr
To Sohan
Being bad debts created)
|
1,000
|
1,000
|
15. Goods worth Rs. 3000 were used by the Proprietor
Date
|
Particulars
|
L.F
|
Amount
(Debit)
|
Amount
(Credit)
|
15
|
Drawing A/c Dr
To Purchases
(Being goods used for personal use)
|
3,000
|
3,000
|
