Recap Analysis and Recording of transactions Lecture 1 Recap Analysis and Recording of transactions Preparation of ledger accounts Calculation of ledger balance Preparation of trial balance Preparation of a basic profit and loss and balance sheet

Areas Covered in This Lecture Different types of vouchers Carrying of balance from one period to the next period Recording the transaction of February and preparation of trial balance

Voucher Specific format Control of transactions Serial numbered Lecture 1 Voucher Specific format Control of transactions Serial numbered

Types of Voucher Receipt voucher Payment voucher Journal voucher Lecture 1 Types of Voucher Receipt voucher Payment voucher Journal voucher

Lecture 1 Receipt Voucher Receipt voucher is used to record receipt of cash or cheque Receipt vouchers can be further divided into Cash Receipt and Bank Receipt vouchers

Receipt Voucher Name of the Organization Lecture 1 Receipt Voucher Name of the Organization Bank Receipt / Cash Receipt OR Receipt Voucher Date: No: Cash / Bank code: Description / Title: Description / Title of Account Code # Credit Amount Total: Narration: Prepared By: Checked by:

Lecture 1 Payment Voucher Payment voucher is used to record a payment of cash or cheque Payment vouchers can be further divided into Cash Payment and Bank Payment vouchers

Payment Voucher Name of the Organization Lecture 1 Payment Voucher Name of the Organization Bank Payment / Cash Payment OR Payment Voucher Date: No: Cash / Bank code: Description / Title: Description / Title of Account Code # Credit Amount Total: Narration: Prepared By: Checked by:

Lecture 1 Journal Voucher Journal voucher is used to record transactions that do not effect cash and bank account

Journal Voucher Name Of Organization Journal Voucher Date: No: Lecture 1 Journal Voucher Name Of Organization Journal Voucher Date: No: Description Code # Debit Amount Credit Amount Total: Narration: Prepared By: Checked by:

Carrying Forward the Balance of an Account Lecture 1 Carrying Forward the Balance of an Account Title of Account Account Code 01 Debit Side Credit Side Date No. Narration Dr. Rs. Cr. Rs. 100,000 80,000 20,000 30,000 31-01 Balance C/F 10,000 120,000 Title of Account Account Code 01 Debit Side Credit Side Date No. Narration Dr. Rs. Cr. Rs. 01-02 Balance B/F 10,000

Carrying Forward the Balance of an Account Lecture 1 Carrying Forward the Balance of an Account Title of Account Code __ Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) 100,000 20,000 120,000 80,000 40,000 30,000 10,000 31-01 Balance C/F Cash Account Page 01 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) 01-02 Balance B/F 10,000

Expense accrued last month reduced by Rs. 5,000 Lecture 1 No. Date Particulars 20-- 01 Feb 02 Deposited Rs. 25,000 in bank 02 Expense accrued last month reduced by Rs. 5,000 03 Feb 05 Expense accrued last month paid through cheque Rs. 15,000 04 Feb 06 Received Rs. 14,000 cash from Mr. B (debtor) 05 Feb 07 Discount given to Mr. B. Rs. 1,000

Goods purchased on credit from Mr. A Rs. 60,000 Lecture 1 No. Date Particulars 20-- 06 Feb 10 Goods purchased on credit from Mr. A Rs. 60,000 07 Feb 12 Goods sold on credit to Mr. B Rs. 95,000 08 Feb 15 Placed Rs. 75,000 in fixed deposit 09 Feb 17 Paid to Mr. A Rs. 25,000 through cheque 10 Feb 20 Received cash from Mr. B. Rs. 75,000 11 Feb 28 Salaries accrued Rs. 5,000 12 Expenses accrued Rs. 15,000

Trial Balance As On January 31, 20-- Lecture 1 Ali Traders Trial Balance As On January 31, 20-- Title of Account Code Dr. Rs. Cr. Rs. Cash Account 01 35,000 Bank Account 02 130,000 Capital Account 03 200,000 Furniture Account 04 15,000 Vehicle Account 05 50,000 Purchases Account 06 60,000 Mr. A (Creditor) 07 Sales 08 95,000 Mr. B (Debtor) 09 Salaries 10 5,000 Expenses 11 20,000 Expenses Payable 12 Total 330,000

01 – Deposited Rs. 25,000 in Bank Cash Account Code 01 Date Number Lecture 1 01 – Deposited Rs. 25,000 in Bank Cash Account Code 01 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 35,000 Feb 02 01 Cash deposited 25,000 10,000 Bank Account Code 02 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 130,000 Feb 02 01 Cash deposited 25,000 155,000

02 – Expense Accrued Last Month Reduced by Rs. 5,000 Lecture 1 02 – Expense Accrued Last Month Reduced by Rs. 5,000 Expenses Accrued Code 12 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 20,000 (20,000) Feb 02 02 Expenses payable reduced 5,000 (15,000) Expense Account Code 11 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 20,000 Feb 02 02 Expenses payable reduced 5,000 15,000

03 – Expense Accrued Last Month Paid Through Cheque Rs. 15,000 Lecture 1 03 – Expense Accrued Last Month Paid Through Cheque Rs. 15,000 Bank Account Code 02 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 130,000 Feb 02 01 Cash deposited 25,000 155,000 Feb 05 03 Expenses payable paid 15,000 140,000 Expenses Accrued Code 12 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 20,000 (20,000) Feb 02 02 Expenses payable reduced 5,000 (15,000) Feb 05 03 Expenses payable paid 15,000

04 – Received Rs. 14,000 Cash From Mr. B (Debtor) Lecture 1 04 – Received Rs. 14,000 Cash From Mr. B (Debtor) Mr. B Code 09 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 15,000 Feb 06 04 Cash received from B 14,000 1,000 Cash Account Code 01 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 35,000 Feb 02 01 Cash deposited 25,000 10,000 Feb 06 04 Cash received from B 14,000 24,000

05 – Discount Given to Mr. B. Rs. 1,000 Lecture 1 05 – Discount Given to Mr. B. Rs. 1,000 Mr. B Code 09 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 15,000 Feb 06 04 Cash received from B 14,000 1,000 Feb 07 05 Discount given to B discount Account Code 13 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F Feb 07 05 Discount given to B 1,000 10,000

06 – Goods Purchased on Credit From Mr. A Rs. 60,000. Lecture 1 06 – Goods Purchased on Credit From Mr. A Rs. 60,000. Mr. A Code 07 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 15,000 (15,000) Feb 10 06 Credit purchases from B 60,000 (75,000) Purchases Account Code 06 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 60,000 Feb 10 06 Credit purchases from B 120,000

07 – Goods Sold on Credit to Mr. B Rs. 95,000. Lecture 1 07 – Goods Sold on Credit to Mr. B Rs. 95,000. Mr. B Code 09 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 15,000 Feb 06 04 Cash received from B 14,000 1,000 Feb 07 05 Discount given to B Feb 12 07 Credit sale to B 95,000 Sales Code 08 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 95,000 (95,000) Feb 12 07 Credit sale to B (190,000)

08 – Placed Rs. 75,000 in Fixed Deposit Lecture 1 08 – Placed Rs. 75,000 in Fixed Deposit Bank Account Code 02 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F 130,000 Feb 02 01 Cash deposited 25,000 155,000 Feb 05 03 Expenses payable paid 15,000 140,000 Feb 15 08 Fixed deposit placed 75,000 65,000 Fixed Deposit Code 14 Date Number Narration Debit Rs. Credit Rs. Bal. Dr/(Cr) Feb 01 Balance B/F Feb 15 08 Fixed deposit placed 75,000