Question

Prepare Chart showing Analysis of the following transaction in a Tabular form according to Modern Approach.

1. Mr. Meghraj started the business with cash of ₹ 30,000.

2. Deposited cash into Bank of India ₹ 2,000.

3. Withdrew cash ₹ 1,000 for personal use.

4. Purchased goods on credit from Nilesh ₹ 2,000.

5. Cash purchases ₹ 3,000.

6. Paid Wages ₹ 400.

7. Purchased a chair for office use ₹ 3,200.

8. Sold goods to Mohan worth ₹ 1,200.

9. Withdrew Cash for Office use ₹ 3,000.

10. Sold old furniture ₹ 9,000.

11. Received Dividend of ₹ 1,000.

12. Paid for Printing bill book ₹ 200.

Answer 1

Sr. No.	Transactions	Two Aspects/ Effects	Accounts Involved	Categories	Rules Applied	Account to be Debited	Account to be Credited
(1)	Mr. Meghraj started business with cash  ₹ 30,000.	Cash comes in the business	Cash A/c	Assets A/c	Increase in assets	Cash A/c	-
		Proprietor is giver of the capital	Capital A/c	Capital A/c	Increase in capital	-	Capital A/c
(2)	Deposited cash into Bank of India ₹ 2,000.	Bank is receiver	Bank of India A/c	Assets A/c	Increase in assets	Bank of India's A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in capital	-	Cash A/c
(3)	Withdrew cash ₹ 1,000 for personal use.	Proprietor is receiver	Drawings A/c	Capital A/c	Decrease in capital	Drawings A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in assets	-	Cash A/c
(4)	Purchased goods on credit from Nilesh ₹ 2,000.	Purchases is an expense	Purchases A/c	Expense A/c	Increase in expense	Purchases A/c	-
		Nilesh is giver	Nilesh's A/c	Liability A/c	Increase in liability	-	Nilesh's A/c
(5)	Cash purchases ₹ 3,000.	Purchases is an expense	Purchases A/c.	Expense A/c	Increase in expense	Purchases A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in assets	-	Cash A/c
(6)	Paid Wages ₹ 400.	Wages is an expense	Wages A/c	Expense A/c	Increase in expense	Wages A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in assets	-	Cash A/c
(7)	Purchased a chair for office use ₹ 3,200.	Furniture is an asset	Furniture A/c	Assets A/c	Increase in assets	Furniture A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in assets	-	Cash A/c
(8)	Sold goods to Mohan worth ₹ 1,200.	Mohan is receiver	Mohan's A/c	Assets A/c	Increase in assets	Mohan's A/c	-
		Sales is an income	Sales A/c	Income A/c	Increase in income	-	Sales A/c
(9)	Withdrew Cash for office use ₹ 3,000.	Cash comes into the business	Cash A/c	Assets A/c	Increase in assets	Cash A/c	-
		Bank is giver	Bank A/c	Assets A/c	Decrease in assets	-	Bank A/c
(10)	Sold old furniture ₹ 9,000.	Cash comes into the business	Cash A/c	Assets A/c	Increase in assets	Cash A/c	-
		Furniture is an asset	Furniture A/c	Assets A/c	Decrease in assets	-	Furniture A/c
(11)	Received Dividend of ₹ 1,000.	Cash comes in	Cash A/c	Assets A/c	Increase in assets	Cash A/c	-
		Dividend is an income	Dividend A/c	Income A/c	Increase in dividend	-	Dividend A/c
(12)	Paid for Printing bill book ₹ 200.	Printing bill book is an expense	Printing A/c	Expenses A/c	Increase in expense	Printing A/c	-
		Cash goes out	Cash A/c	Assets A/c	Decrease in assets	-	Cash A/c