(a) From the following particulars of Trichy Educational Society, prepare Receipts and Payments account for the year ended 31st December, 2018. | Particulars | ₹ | Particulars | ₹ | | --- | --- | --- | --- | | Opening cash balance as on (1.1.2018) | 20,000 | Locker rent received | 12,000 | | Investments made | 80,000 | Sale of furniture | 5,000 | | Honorarium paid | 3,000 | General expenses | 7,000 | | Donation received | 80,000 | Postage | 1,000 | | Audit fees paid | 2,000 | Subscription received | 10,000 | OR (b) Rajan Ltd., purchased machinery of ₹ 6,00,000 from Jegan Traders. It issued equity shares of ₹ 10 each fully paid in satisfaction of their claim. What entries will be made if such issue is made ? (i) at par (ii) at a premium of 50%

> > [!TLDR] > (a) Prepare a summarised cash statement: total receipts ₹1,27,000, total payments ₹93,000, closing cash ₹34,000. (b) Machinery bought for ₹6,00,000 settled by shares — 60,000 shares at par, or 40,000 shares at a 50% premium. > > ## (a) Receipts and Payments Account of Trichy Educational Society for the year ended 31st December 2018 > > A Receipts and Payments A/c records ALL cash/bank transactions (capital and revenue, past/current/future) with no distinction — it is simply a classified summary of the cash book. > > | Receipts | ₹ | Payments | ₹ | > | --- | --- | --- | --- | > | To Balance b/d (opening cash 1.1.2018) | 20,000 | By Investments made | 80,000 | > | To Donation received | 80,000 | By Honorarium paid | 3,000 | > | To Locker rent received | 12,000 | By Audit fees paid | 2,000 | > | To Sale of furniture | 5,000 | By General expenses | 7,000 | > | To Subscription received | 10,000 | By Postage | 1,000 | > | | | By Balance c/d (closing cash 31.12.2018) | 34,000 | > | **Total** | **1,27,000** | **Total** | **1,27,000** | > > Closing cash balance = 1,27,000 − (80,000 + 3,000 + 2,000 + 7,000 + 1,000) = 1,27,000 − 93,000 = **₹34,000**. > > ## (b) Rajan Ltd. — shares issued to Jegan Traders for machinery of ₹6,00,000 > > **Entry on purchase of machinery** > > | Particulars | L.F. | Dr (₹) | Cr (₹) | > | --- | --- | --- | --- | > | Machinery A/c Dr | | 6,00,000 | | > | To Jegan Traders A/c | | | 6,00,000 | > | (Being machinery purchased on credit) | | | | > > **(i) Shares issued at par** — number of shares = 6,00,000 ÷ 10 = 60,000 shares. > > | Particulars | L.F. | Dr (₹) | Cr (₹) | > | --- | --- | --- | --- | > | Jegan Traders A/c Dr | | 6,00,000 | | > | To Equity Share Capital A/c | | | 6,00,000 | > | (Being 60,000 equity shares of ₹10 each issued at par in satisfaction of the claim) | | | | …

(a) From the following particulars of Trichy Educational Society, prepare Receipts and Payments account for th

Question 29 of 48

(a) From the following particulars of Trichy Educational Society, prepare Receipts and Payments account for the year ended 31st December, 2018.

Particulars	₹	Particulars	₹
Opening cash balance as on (1.1.2018)	20,000	Locker rent received	12,000
Investments made	80,000	Sale of furniture	5,000
Honorarium paid	3,000	General expenses	7,000
Donation received	80,000	Postage	1,000
Audit fees paid	2,000	Subscription received	10,000

(b) Rajan Ltd., purchased machinery of ₹ 6,00,000 from Jegan Traders. It issued equity shares of ₹ 10 each fully paid in satisfaction of their claim. What entries will be made if such issue is made ?

at par
at a premium of 50%

Tamil Nadu DgeTamil Nadu HSC (DGE) Commerce Board 2023Subjective· 5mImportance★★★★★

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(a) Prepare a summarised cash statement: total receipts ₹1,27,000, total payments ₹93,000, closing cash ₹34,000. (b) Machinery bought for ₹6,00,000 settled by shares — 60,000 shares at par, or 40,000 shares at a 50% premium.

(a) Receipts and Payments Account of Trichy Educational Society for the year ended 31st December 2018

A Receipts and Payments A/c records ALL cash/bank transactions (capital and revenue, past/current/future) with no distinction — it is simply a classified summary of the cash book.

Receipts	₹	Payments	₹
To Balance b/d (opening cash 1.1.2018)	20,000	By Investments made	80,000
To Donation received	80,000	By Honorarium paid	3,000
To Locker rent received	12,000	By Audit fees paid	2,000
To Sale of furniture	5,000	By General expenses	7,000
To Subscription received	10,000	By Postage	1,000
		By Balance c/d (closing cash 31.12.2018)	34,000
Total	1,27,000	Total	1,27,000

Closing cash balance = 1,27,000 − (80,000 + 3,000 + 2,000 + 7,000 + 1,000) = 1,27,000 − 93,000 = ₹34,000.

(b) Rajan Ltd. — shares issued to Jegan Traders for machinery of ₹6,00,000

Entry on purchase of machinery

Particulars	Dr (₹)	Cr (₹)
Machinery A/c Dr	6,00,000
To Jegan Traders A/c		6,00,000
(Being machinery purchased on credit)

(i) Shares issued at par — number of shares = 6,00,000 ÷ 10 = 60,000 shares.

Particulars	Dr (₹)	Cr (₹)
Jegan Traders A/c Dr	6,00,000
To Equity Share Capital A/c		6,00,000
(Being 60,000 equity shares of ₹10 each issued at par in satisfaction of the claim)

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(a) Receipts and Payments Account of Trichy Educational Society for the year ended 31st December 2018

(b) Rajan Ltd. — shares issued to Jegan Traders for machinery of ₹6,00,000

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