Journal Entries in the books of Medi Store

S.No. Date Particulars L.F. Amt (Dr.) Amt (Cr.)

a 1/4/2015 Cash A/c Dr. 1 50,000

Share Capital A/c Cr. 2 50,000

(Being capital invested by Sriram in the
business (Medi store) in the form of cash)

b 6/4/2015 Equipment A/c Dr. 3 40,000

Creditor's A/c Cr. 4 40,000
(Being equipment worth Rs. 40,000 bought
on credit from Ram Naresh).

c 8/4/2015 Cash A/c Dr. 1 30,000

Bank Loan A/c Cr. 5 30,000
(Being bank loan taken)
d 13/4/2015 Trade Debtor's A/c Dr. 6 15,000
Revenue from services A/c Cr. 7 15,000
(Being invoiced raised against services provided)
e 14/4/2015 Cash A/c Dr. 1 18,000
Revenue from services A/c Cr. 7 18,000
(Being services provided for cash)
f 22/04/2015 Supplies A/c Dr. 8 3,000
Cash A/c Cr. 1 3,000
(Being supplies bought for cash)
g 25/04/2015 Salary Expense A/c Dr. 9 10,000
Cash A/c Cr. 1 10,000
(Being salary paid to the staff)
h 26/4/2015 Electricity Expense A/c Dr. 10 6,000
Cash A/c Cr. 1 6,000
(Being electricity expenses paid through bank)
i 27/04/2015 Equipment A/c Dr. 3 5,000
Cash A/c Cr. 1 5,000
(Being equipment bought for cash)
j 30/04/2015 Bank Loan A/c Dr. 5 10,000
Cash A/c Cr. 1 10,000
(Being bank loan paid)
k 4/30/2015 Interst on Bank Loan A/c Dr. 12 500
Cash A/c Cr. 1 500
(being Interest on bank loan paid)
l 30/04/2015 Dividends A/c Dr. 11 5,000
Cash A/c Cr. 1 5,000
(Being dividends paid)
Total 177,150 177,150

Note: In this problem for both Cash and bank A/c a coomon terminology Cash A/c has been
used. In real situation if money is received in bank A/c bank A/c will be Debited and if
payment is made through cheque, bank a/c will be credited and so on for cash A/c….
 Page 1
Dr. Cash A/c Cr.
Date Particulars Amt Date Particulars Amt
Share Capital A/c (a)
1/4/2015 50,000 22/04/2015 Supplies A/c (f ) 3,000
Bank Loan A/c ( c)
8/4/2015 30,000 25/04/2015 Salary Expense A/c (g) 10,000
Revenue from
14/4/2015 services A/c (e ) 18,000 26/4/2015 Electricity Expense A/c (h) 6,000
27/04/2015 Equipment A/c (i) 5,000

30/04/2015 Bank Loan A/c (j) 10,000

DEBIT BALANCE 4/30/2015 Interest on babk loan (k) 500
58500 30/04/2015 Dividends A/c (l) 5,000
30/04/2020 Balance c/f 58,500
98,000 98,000

Page 2
Dr. Share Capital A/c Cr.
Date Particulars Amt Date Particulars Amt
30/4/2015 Balance C/F 50,000 1/4/2015 Cash A/c (a) 50,000

50,000 CREBIT BALANCE 50000 50,000

Page 3
Dr. Equipment A/c Cr.
Date Particulars Amt Date Particulars Amt
6/4/2015 Creditor's A/c (b) 40,000
27/4/2015 Cash A/c (i ) 5,000
30/4/2015 Balance C/F 45,000

45,000 45,000

DEBIT BALANCE
45000

Page 4
Dr. Creditor's A/c Cr.
Date Particulars Amt Date Particulars Amt
6/4/2015 Equipment A/c (b) 40,000

30/04/2015 Balance C/F 40,000

 40,000 40,000
CREBIT BALANCE 40000

Page 5
Dr. Bank Loan A/c Cr.
Date Particulars Amt Date Particulars Amt
30/04/2015 Cash A/c (j) 10,000 8/4/2015 Cash A/c ( C) 30,000
30/04/2015 Balance C/F 20,000

30,000 CREBIT BALANCE 20000 30,000

 Page 6
Dr. Trade debtor's A/c
Date Particulars Amt Date Particulars
Revenue from services A/c
13/4/2015 (d) 15,000

30/4/2015 Balance C/F

DEBIT BALANCE 15000 15,000

Page 7
Dr. Revenue from services A/c
Date Particulars Amt Date Particulars
13/4/2015 Trade debtor's A/c (d)
14/4/2015 Cash A/c (e)
30/04/2015 Balance C/F 33,000

33,000
CREBIT BALANCE 33000

Page 8
Dr. Supplies A/c
Date Particulars Amt Date Particulars
22/4/2015 Cash A/c (f ) 3,000 30/4/2015 Balance C/F

3,000

DEBIT BALANCE 3000

Page 9
Dr. Salary Expense A/c
Date Particulars Amt Date Particulars
25/04/2015 Cash A/c (g) 10,000 30/4/2015 Balance C/F

10,000
DEBIT BALANCE 10000
 Page 10
Dr. Electricity Expense A/c
Date Particulars Amt Date Particulars
26/4/2015 Cash A/c (h) 6,000 30/4/2015 Balance C/F

6,000

DEBIT BALANCE 6000

Page 11
Dr. Dividend A/c
Date Particulars Amt Date Particulars
30/4/2015 Cash A/c (k) 5,000 30/4/2015 Balance C/F

5,000
DEBIT BALANCE 5000
 Trial Balance of Medi labs as on 30/4/2015
Cr. S.No. Particulars L.F. Amt (Dr.) Amt (Cr.)
Amt 1 Cash A/c 1 58,500
2
Share Capital A/c 2 50,000
3
Equipment A/c 3 45,000
4
Creditor's 4 40,000
15,000 5 Bank Loan A/c 5 20,000
6
Trade debtor's A/c 6 15,000
15,000 7 Revenue form services A/c 7 33,000
8 Supplies A/c 8 3,000
9 Salary expense A/c 9 10,000
10 Electricity Expense A/c 10 6,000
Cr. 11 Dividend A/c 11 5,000
Amt 12 Interest on loan A/c 12 500
15,000 Total 143,000 143,000
18,000

33,000

Cr.
Amt
3,000

3,000

Cr.
Amt
10,000

10,000
Cr.
Amt
6,000

6,000

Cr.
Amt
5,000

5,000
 Equipment Asset Dr
Creditor Liability Cr

Debtor Asset Dr
Revenue from services Revenue Cr

Salary Expense Expense Dr

Cash Asset Cr

Salary Expense Dr
Salary outstanding Liability Cr

100,000 Salary expense Expense dr

50000 cash Asset cr
50000 Salary outsatanding liability cr

Equipment Asset Dr
Cash Asset Cr