Three Column Cash Book

Q1. Mr.Rajiv started a Textile Business in Mumbai and his transactions for the month of
April 2017.
01/04/17 Started a business with cash Rs 50,000/- and bank balance of Rs 2,00,000/-
04/04/17 Goods purchase worth Rs 10,000/- and payment made immediately By cheque and get
discount Rs 100/-
07/04/17 Rent paid for the building Rs 1,000/-
09/04/17 Wages paid for Rs 2,500/- by Cheque
11/04/17 Sold goods worth Rs 5,000/- and to receive payment immediately by cheque and allow
discount Rs 100/-
12/04/17 Purchase goods from Ram & sons Rs 4,000/-
14/04/17 Commission paid to Rohan Rs 100/-
15/04/17 Payment received from Ram & sons Rs 3,950 by cheque. and Allowed her discount of
Rs 50/-
16/04/17 Labour charges paid for Rs 250/-
18/04/17 Furniture purchase for Rs 2,500/-
21/04/17 Sold goods worth Rs 2,500/- to Ramesh.
23/04/17 Payment made to Ramesh Rs 2,450 by Cheque and received the discount of Rs. 50/-
25/04/17 Freight paid to Rs 300/-.
29/04/17 An owner withdraw cash from business for personal use Rs1,000.
Required: Prepare a Three Column Cash Book

Cash Book
Dr. Cr.
Receipts Payments
LF Disco LF Disco
Date Particulars No unt Cash Bank Date Particulars No unt Cash Bank
2017 2017
April April
1 To Capital 50000 200000 4 By Purchases 100 9900
11 To Sales 100 4900 7 By Rent 1000
To Ram &
15 Sons 50 3950 9 By Wages 2500
14 By Commission 100
16 By Labour Charges 250
18 By Furniture 2500
23 By Ramesh 50 2450
25 By Freight 300
29 By Drawings 1000
30 By Balance C/d 44850 194000
Total 150 50000 208850 Total 150 50000 208850
 Q2. Enter The Following Transactions in Cash Book with Cash And Bank Column Of Rao
& Sons.

June 2010 Particulars

1 started business with cash Rs. 1,00,000
3 opened a bank current a/c with SBI Rs. 60,000
6 brought goods from ashok Rs. 15,000
8 paid ashok by cheque Rs. 14,700 and received discount Rs. 300
10 sold goods to mohan for cash Rs. 10,000 and on credit Rs. 22,000
12 received cheque from mohan 21,400 and allowed discount Rs. 600
13 cheque of mohan deposited into bank
15 paid electricity charges Rs. 1100 & rent Rs. 2,000
17 received a cheque from Gopal for Rs. 6,800 in full settlement of his a/c Rs. 7,000
19 endorsed the cheque of gopal in favour of our creditor amar
23 withdrew cash from bank for office use Rs. 5,000 & for personal use 3,500
25 bought a machine from raman. He was paid by cheque 9,000
26 paid carriage of machine Rs. 300 and installation charges Rs. 700
29 bank allowed interest Rs. 800 & bank charges were Rs. 200

Cash Book
Dr. Cr.
Receipts Payments
LF Disc LF Disc
Date Particulars No ount Cash Bank Date Particulars No ount Cash Bank
2010 2010
June June
1 To Capital 100000 3 By Bank C 60000
3 To Cash C 60000 8 By Ashok 300 14700
10 To Sales 10000 13 By Bank C 21400
12 To Mohan 600 21400 15 By Electricity 1100
13 To Cash C 21400 15 By Rent 2000
17 To Gopal 200 6800 19 By Amar 6800
23 To Bank C 5000 23 By Cash C 5000
29 To Interest 800 23 By Drawings 3500
25 By Machinery 9000
26 By Machinery 1000
29 By Bank Charges 200
30 By Balance C/d 50900 49800
Total 800 143200 49800 Total 300 143200 49800
 Q3. From the following particulars write up the triple column cash book of Virbhadar
singh and bring down the balances on 31st August 2016.
Aug.1 Cash at office 14,350 Cash at bank 9,655
Aug.3 Paid salary to staff by cheque 5,500
Aug.4 Half yearly interest credited by bank 540
Aug.5 Received from such Ram – Cash 7,300 - Cheque 7,200 Discount allowed 400
Aug.7 Sold goods for cash 9,100
Aug.8 Withdrew from bank by self cheque 3,000
Aug.10 Paid cash for the purchase of a computer 20,000
Aug.12 Issued a cheque to Sat pal 6,790 Discount received 3% 210
Aug.14 Received from Sharda devi (In full settlement of her account Rs. 6,400) by cheque 6,250
Aug.17 Endorsed the above cheque to Raj Rani (In full settlement of her account Rs. 6,500)
Aug.19. Paid cash for the purchase of toys for the proprietor’s son 1,200
Aug.22 Intimation received from the bank regarding a direct payment into bank by Anil kumar
8,500
Aug.25 Paid insurance premium 2,300
Aug.28 Issued a cheque to petty cashier 2,500
Aug.29. Received commission from shanta Ram 7,500
Aug,31 Deposited the entire cash into bank in excess of 8,000
Cash Book
Dr. Cr.
Receipts Payments
L
F
N Disco LF Disco
Date Particulars o unt Cash Bank Date Particulars No unt Cash Bank
2016 2016
Aug Aug
To Balance
1 B/d 14350 9655 3 By Salary 5500
4 To Interest 540 8 By Cash C 3000
5 To Sukhram 400 7300 7200 10 By Computer 20000
7 To Sales 9100 12 By Sat Pal 210 6790
8 To Bank C 3000 17 By Raj Rani 250 6200
To
14 Shardadevi 150 6250 19 By Drawings 1200
To Anil By Insurance
22 kumar 8500 25 Premium 2300
To
29 Commission 7500 28 By Petty Cash 9750
31 To Cash C 9750 31 By Bank C 8000
31 By Balance C/d 50900 49800
14320
Total 800 0 49800 Total 300 143200 49800
 Q4. From the following particulars write up a Three Column Cash Book of Mr. Naseem.
2018 May 1: Cash in hand Rs. 40,000
May 1: Cash at Bank Rs. 30,000
May 3: Goods sold for cash Rs. 9,000
May 5: Goods bought for cash Rs. 18,000
May 8: Received a cheque from M. Farooq for Rs. 19,300 in full settlement of his dues
Rs. 19,600 and deposited into the bank.
May 11: Paid to Zulfiqar Cash Rs. 10,000 and a cheque for Rs. 9,400 in full settlement
of his dues Rs. 20,000
May 15: Cash received from M. Kaleem Rs. 9,800 in full settlement of his dues Rs.
10,000
May 17: Paid cash to Adnan Rs. 3,900 in full clearance of his dues Rs. 4,000
May 20: Received a cheque from Asim Tufail Rs. 7,800 in full settlement of his dues Rs.
8,000
May 23: Asim Tufail's cheque endorsed to a creditor Akif in settlement of Rs. 8,100
May 25: Bank credited interest Rs. 1,000
May 31: Bank debited bank charges Rs. 1,400

Cash Book
Dr. Cr.
Receipts Payments
LF Disco LF Disc
Date Particulars No unt Cash Bank Date Particulars No ount Cash Bank
2018 2018
May May
1 Balance b/d 40000 30000 5 By Purchases 18000
3 To Sales 9000 11 By Zulfqar 600 10000 9400
8 To M.Farooq 300 19300 17 By Adnan 100 3900
15 To M.Kaleem 200 9800 23 By Akif 300 7800
To Asim By Bank
20 Tufail 200 7800 31 Charges 1400
25 To Interest 1000 31 By Balance c/d 26900 39500
Total 700 66000 50300 Total 1000 66000 50300
Q5. On 1st January 2018. Ram opened a Bank Account by depositing Rs. 6,000 in cash. All
remittances are to be paid into bank on the same day on which they are received and all
payments are made by cheques. Enter the following transactions in the Three Column Cash
Book and Post the same into the ledger.

Jan. 2 Goods sold to Mohan for Cash Rs 250.

5 Settled Hart's account of Rs 200 at a discount of 5%.
7 Received from Shyam a cheque for Rs 725. Discount allowed Rs 25.
10 Purchased a old typewriter for Rs 200 and spent Rs 50 on its repairs.
12 Shyam's cheque was returned dishonoured.
15 Received a money order for Rs 25 from Hari
20 Shyam settled his account by means of a cheque for Rs 755, Rs 5 being for interest charged.
27 Purchased machinery from Rajiv for Rs 5,000 and paid him by means of a bank draft
purchased from, bank for Rs 5,005.
Solution :
Cash Book
Dr. Cr.
Date Particulars L. Disc. Cash Bank Date Particulars L. Disc. Cash Bank
F. Rs. Rs. Rs. F. Rs. Rs. Rs.
2018 2018
Jan. To Capital A/c 6,000 Jan. By Bank A/c C 6,000
1 To Cash A/c C 6,000 1 By Bank A/C C 250
1 To Sales A/c – 250 – 2 By Hari 10 – 190
2 To Cash A/c C – – 250 5 By Typewriter – – 250
2 To Shyam 25 – 725 10 A/c
7 To Hari – 25 – By Shyam 25 – 725
15 To Cash A/c C – – 25 12 By Bank A/c C – 25 –
15 To Shyam A/c – – 750 15 By Machinery – – 5,000
20 To Interest A/c – – 5 27 A/c – – 5
By Draft
Commission – – 1,585
31 A/c
By Balance c/d
25 6,245 7,755 35 6,275 7,755
Feb. To Balance b/d – – 1,585
1
Q6. Prepare a Cash Book with Bank Column from the following transactions :

Date Particulars Rs.

October
1 Cash in hand 1,800
Cash at bank 11,000
5 Discount a B/E at 1% through bank 4,000
7 Bought goods by cheque 7,000
8 Bought goods for cash 500
10 Honoured our own acceptance by cheque 5,000
14 Paid trade expenses 105
16 Paid into bank 1,000
18 Ramesh who owed us Rs 500 became
bankrupt and paid us 50 Paisa in the rupee
20 Received cash from Manohar 400
Allowed discount 10
23 Withdrew from bank 400
Paid to & Ghanshyamdas & Co. 300
Allowed us discount 10
24 Received Rs 2.000 for a B/E from Hari Ram and
deposited the same into bank
25 Withdrew from bank for private expenses 300
27 Sold goods for cash 200
28 Received A/c Payee's cheque for goods sold 9,000
29 Received a loan of Rs 5,000 and deposited
Rs 3,000 out of it into bank
30 Bank charges as per Pass Book 5
Solution :