Page 299 - VIRANSH COACHING CLASSES

9. On 3 July, 2019 Ravi drew a bill of ` 12,000 for 90 days after date on Dhruv which was accepted
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by Dhruv. On 9 July, 2019 Ravi endorsed the bill to Harish in full settlement of his account
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` 12,750. On the same day Harish discounted the bill with bank for ` 11,750.
Government declared emergency holiday on the due date and as per the provisions of Negotiable
Instruments Act the bill was duly met by Dhruv.
Give journal entries in the books of Ravi, Dhruv and Harish.
In the books of Ravi
Journal

Date Particulars L. F. Debit Credit
Amount ` Amount `
2019 Bills Receivable A/c .......................................... Dr. 12,000
July 3 To Dhruv’s A/c 12,000
(Being bill drawn and acceptance received)
July 9 Harish ’s A/c ..................................................... Dr. 12,750
To Bills Receivable A/c 12,000
To Discount A/c 750
(Being bill endorsed in full settlement)

In the books of Dhruv
Journal
Date Particulars L. F. Debit Credit
Amount ` Amount `
2019 Ravi’s A/c ......................................................... Dr. 12,000
July 3 To Bills Payable A/c 12,000
(Being our acceptance given)
Oct. 5 Bills Payable A/c .............................................. Dr. 12,000
To Cash / Bank A/c 12,000
(Being our acceptance honoured)

In the books of Harish
Journal
Date Particulars L. F. Debit Credit
Amount ` Amount `
2019 Bills Receivable A/c .......................................... Dr. 12,000
July 3 Discount A/c ....................................................... Dr. 750
To Ravi’s A/c 12,750
(Being Bills Receivable received in full settlement
and Discount allowed)
July 9 Bank A/c .......................................................... Dr. 11,750
Discount A/c ...................................................... Dr. 250
To Bills Receivable A/c 12,000
(Being bill discounted with the bank)

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