Session 3 – Assignment on Journal, Ledger

and Trial Balance

 Directions for the Assignment

• This is the exercise which we had started

doing in class in groups
• Each one is required to now individually make
a submission as discussed
• No submissions will be accepted beyond
Sunday 29 August, 2010
• The assignment is in the subsequent pages
Our exercise for today – Creating a
journal, ledger and trial balance
Step 1: Post these transactions into a journal

1 Siyaram commenced business with cash 200000

2 Purchased office furniture for cash 20000

3 Purchased goods for cash 50000

4 Purchased goods on credit - Vishal trading company 25000

Mohan garments 16000

5 Returned goods to Vishal trading company 5000

6 Paid cash to VTC in full settlement with 5% cash discount Please compute

7 Sold goods for cash 40000

Dr Cr
A, E Increase Decrease
L, R Decrease Increase
Our exercise for today – Creating a
journal, ledger and trial balance
Step 1: Post these transactions into a journal
8 Sold goods to Hero Ltd. Less 10% trade discount 30000

9 Siya ram withdraws from business for personal use

Cash 10000
Goods 4000

10 Paid to Mohan garments 7800

Discount received 200

11 Received from Hero Ltd. 8850

Discount allowed 150

12 Sold goods to Hansraj for cash 12000

13 Purchased goods from Pawan brothers 24000

14 Paid rent 2000 and salaries 4000

Dr Cr
A, E Increase Decrease
L, R Decrease Increase
Our exercise for today – Creating a
journal, ledger and trial balance

Step 2: Create a ledger and a trial balance for these entries