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Accounting Cycle

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Financial Accounting Case on accounting cycle
Bharat Gupta promotes Bharat Traders, his proprietary firm, to start the business of trading in product X on 1st April, 2009. He hires an office at A-12, Agarwal Complex , Vikas Marg, Delhi-110092 @ Rs. 2,500 p.m.. The following are the details of the transactions entered into by the firm during month of April . Record the transactions in the Journal and classify them into Ledger and summarize the balance into Trial Balance.
2009 Amt. Rs.
April 1 Received cash from Bharat Gupta towards his capital 1,50,000
1 Opened a current account with the State Bank of India 1,35,000
1 Issued cheque for office rent for April 2,500
1 Purchased one scooter from Regent Automobiles on credit. All initial cost including Insurance borne by the vendor 31,500
1 Paid cheque towards down payment for Scooter, balance loan, against security of scooter, payable in 12 monthly installments starting May 1 with interest @ 12% on reducing balance 7,500
2 Purchased office furniture for cash 8,500
2 Purchased office equipments. Paid cheque 11,500
5 Purchased 45 units of products X. Issued cheque 45,000
8 Sold 10 Units of Product X. Received cheque deposited in SBI 12,500
10 Cheque issued for advertisement in the local daily Delhi Times 2,200
12 Purchased 75 units of X from ABC & Co. on 15 days credit 75,750
16 Sold 25 units of X to RIL & Co on Credit of one week 31,875
19 Sold 5 units of X for Cash 6,425
23 Received cheque from RIL & Co 31,875
27 Issued cheque to ABC & Co 75.750
28 Purchased 30 Units of X from ABC & Co on 15 days credit 30,450
28 Sold 20 units of X to RIL & Co on credit of one week 25.600
30 Salary Paid to the office assistant in cash 3,500
30 Issued cheque to Bharat Gupta for his personal use 4,000
30 Cash paid to the office owner for using his telephone during April 650
30 Cash paid to Preet Fill Station towards petrol consumed by the scooter during the month 550

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