List of Transaction (Project Based Exercise)

Sl. No. Date Transaction for April 2021

1. 01-04-2021 Nandini Kapur started Universal Business Solutions by bringing in cash of Rs.3,00,000.
2. 02-04-2021 Ms. Kapur paid Rs. 22, 500 in cash to purchase a computer. The computer does not
have any disposal value at the end of its useful life of four years. All assets are to be
depreciated using the straight-line method.
3. 03-04-2021 Ms. Kapur opened a bank account with HDFC Bank by depositing cash of Rs.1,00,000.
4. 04-04-2021 Ms. Kapur rented an office space for Rs. 2,500 per month on April 1, 2021. She paid the
security deposit of Rs.25, 000 by cheque.
5. 05-04-2021 Ms. Kapur hired Maya Nair as Manager (Operations) on a monthly salary of Rs.7,500.
She also hired Vijay Narayan as Assistant Manager (Marketing) on a monthly salary of
Rs.4,500.
6. 10-04-2021 Ms. Kapur made an arrangement with Raj Travels to receive bills, for travel expenses, at
regular intervals.
7. 15-04-2021 Ms. Kapur issued cheque and purchased the following fixed assets.
• Cell phone for office usage for Rs.6,000 (useful life 5 years).
• Furniture for Rs.20,000 (useful life 8 years).
• Air conditioner for Rs.20,000 (useful life 6 years).
• Electrical Fittings for Rs. 15,000 (useful life 10 years).
The assets have no disposal value at the end of their useful life.
8. 16-04-2021 Ms. Kapur obtained a mobile phone subscription from Planet Tele-communications Ltd.
by paying a security deposit of Rs.3,000 in cash.
9. 20-04-2021 Ms. Kapoor purchased stationery consumables worth Rs.12, 500 from Global House, on
credit.
10. 21-04-2021 Ms. Kapur signed a contract with Silver Services to provide consultancy services at an
agreed price of Rs.75, 000. She received an advance of Rs.25, 000 by cheque.
11. 23-04-2021 Ms. Kapur deposited Rs.50,000 cash in HDFC Bank.
12. 25-04-2021 Ms. Kapur received an invoice for Rs.6,000 from Ink and Paper Publishers for printing
office stationery.
13. 27-04-2021 Ms. Kapur withdrew Rs.7,500 cash for personal use.
14. 30-04-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for April.
Trial Balance 3,43,500/-
Transaction for May 2021
15. 01-05-2021 Ms. Kapur paid Rs.6,000 in cash to Ink and Paper Publishers.
16. 05-05-2021 Ms. Kapur paid Rs.2, 500 by cheque towards office rent for April.
17. 06-05-2021 Ms. Kapur paid salaries through cheque for April (25 days) to Maya Nair Rs.6, 500 and
Vijay NarayanRs.3, 900.
18. 07-05-2021 Ms. Kapur received and paid her mobile phone bill amounting to Rs.1, 250 in cash for
April.
19. 10-05-2021 Ms. Kapur issued cheque of Rs.12, 500 to Global House.
20. 12-05-2021 Ms. Kapur paid Rs. 1,100 in cash towards electricity charge for April.
21. 14-05-2021 Ms. Kapur received a further advance of Rs.25, 000 from Silver Services by cheque
(Refer transaction 10).
22. 15-05-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.650 in cash to Vijay Narayan.
23. 18-05-2021 Ms. Kapur paid RS. 150 in cash towards Miscellaneous office expenses.
24. 20-05-2021 Ms. Kapur received Rs.15, 000 as consulting revenue in cash from Omega Infotech.
Ms. Kapur raised an invoice for Rs.75, 000 on Silver Services after completion of the
25. 25-05-2021 service. Silver Services paid the balance amount of Rs.25,000 in cash after deducting
the advance. (Refer transactions 10 and 21.)
26. 28-05-2021 Ms. Kapur withdrew Rs. 6, 000 cash for personal use.
Trial Balance 3,90,000/-
List of Transaction (Project Based Exercise)

Sl. No. Date Transaction for June 2021

27. 03-06-2021 Ms. Kapur paid Rs.2,500 in cash towards office rent for May.
28. 04-06-2021 Ms. Kapur paid salary by cheque for May. (Refer transaction 5)
Ms. Kapur received an invoice for Rs.5,500 from Raj Travels. This includes Rs.2,300
29. 05-06-2021
towards cab hiring charges and Rs.3,200 towards outstation tours.
30. 09-06-2021 Ms. Kapur received Rs.35,000 in cash as consulting revenue from Eateries Food Chain.
31. 10-06-2021 Ms. Kapur deposited Rs.30,000 cash in HDFC Bank.
32. 15-06-2021 Ms. Kapur paid mobile phone bill amounting to Rs.1,350 by cheque for May.
33. 16-06-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.750 in cash to Vijay Narayan.
34. 20-06-2021 Ms. Kapur paid Rs. 1,250 in cash towards electricity bill charges for May.
35. 21-06-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for May.
36. 23-06-2021 Ms. Kapur paid Rs.3,000 in cash as salary advance to Maya Nair.
37. 27-06-2021 Ms. Kapur withdrew Rs.6,000 cash for personal use.
Trial Balance 4,30,500/-
Transaction for July 2021
38. 03-07-2021 Ms. Kapur raised an invoice for Rs.65,000 on Alfatech Solutions for services provided.
Ms. Kapur subscribed a magazine for the Management Consultant journal, paying
39. 06-07-2021
Rs.2,400 by cheque. The subscription period is from July 2021 to June 2023.
Ms. Kapur paid salaries for June 2021 by cheque. Salary advance paid to Maya Nair is
40. 07-07-2021
adjusted against the salary paid. (Refer transaction 36)
41. 10-07-2021 Ms. Kapur paid office rent by cheque for June 2021. (Refer transaction 4)
42. 15-07-2021 Ms. Kapur received Rs.35,000 by cheque from Alfatech Solutions.
43. 18-07-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for June.
44. 19-07-2021 Ms. Kapur paid Rs.850 in cash towards electricity charges for June.
45. 20-07-2021 Ms. Kapur paid Rs.1,650 by cheque as mobile phone bill charges for June.
46. 25-07-2021 Ms. Kapur reimbursed conveyance bills of Rs.550 in cash to Vijay Narayan.
47. 28-07-2021 Ms. Kapur withdrew Rs.6,500 cash for personal use.
Trial Balance 4,95,500/-
Transaction for August 2021
Ms. Kapur paid by cheque Rs.6,000 for insurance of fixed assets. The period of
48. 01-08-2021
insurance is from August 1, 2021 to July 31, 2022.
49. 02-08-2021 Ms. Kapur received Rs.30,000 in cash as consulting revenue from WorldX Multimedia.
50. 05-08-2021 Ms. Kapur paid salaries for July by cheque. (Refer transaction 5)
51. 10-08-2021 Ms. Kapur paid office rent for July by cheque. (Refer transaction 4)
52. 12-08-2021 Ms. Kapur withdrew Rs.25,000 from HDFC Bank.
53. 14-08-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for July.
Ms. Kapur raised an invoice for Rs.50,000 on MediaLive Productions for services
54. 16-08-2021
provided. The terms of credit are 30 days.
55. 18-08-2021 Ms. Kapur paid Rs.950 in cash towards electricity charges for July.
56. 20-08-2021 Ms. Kapur paid Rs.2,100 by cheque towards mobile phone bill charges for July
MediaLive Productions settled the bill for a final amount of Rs.48,000 by paying
57. 21-08-2021
Rs.20,000 in cash and Rs.28,000 by cheque. (Refer transaction 54)
58. 27-08-2021 Ms. Kapur withdrew Rs.7,000 cash for personal use.
59. 28-08-2021 Ms. Kapur received Rs.30,000 by cheque from Alfatech Solutions.
60. 29-08-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.1,200 in cash to Vijay Narayan.
Trial Balance 5,75,500/-
Transaction for September 2021
61. 02-09-2021 Ms. Kapur paid Rs.3,800 in cash for repairs and maintenance of office premises.
List of Transaction (Project Based Exercise)

Ms. Kapur paid salaries for August by cheque. As Maya Nair was on leave for 15 days,
62. 05-09-2021
she was paid half-month's salary. (Refer transaction 5)
63. 08-09-2021 Ms. Kapur paid office rent for August by cheque. (Refer transaction 4)
64. 09-09-2021 Ms. Kapur received an invoice for Rs.7,600 from Raj Travels. This includes Rs.3,150
towards cab hiring charges and Rs.4,450 towards outstation tours.
65. 12-09-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for August.
Ms. Kapur received Rs.25,000 in cash as consulting revenue from Cam and Cut
66. 15-09-2021
Productions.
67. 17-09-2021 Ms. Kapur paid Rs.1,300 in cash towards electricity charges for August.
68. 20-09-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.500 in cash to Vijay Narayan.
69. 23-09-2021 Ms. Kapur paid Rs. 10,000 by cheque to Raj Travels.
70. 24-09-2021 Ms. Kapur paid Rs.1,750 by cheque towards mobile phone bill charges for August.
71. 28-09-2021 Ms. Kapur withdrew Rs.5,500 cash for personal use.
Trial Balance 5,98,100/-
Transaction for October 2021
Ms. Kapur received Rs.50,000 by cheque as consulting revenue from Xceed
72. 03-10-2021
International Couriers.
73. 05-10-2021 Ms. Kapur paid office rent for September by cheque. (Refer transaction 4)
74. 07-10-2021 Ms. Kapur withdrew Rs.30,000 cash from HDFC Bank.
75. 08-10-2021 Ms. Kapur paid salaries for September by cheque. (Refer transaction 5)
76. 10-10-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for September.
77. 12-10-2021 Ms. Kapur purchased stationery items worth Rs. 1,600 in cash.
78. 15-10-2021 Ms. Kapur received Rs. 15,000 in cash as consulting revenue from Samaritan Products.
79. 18-10-2021 Ms. Kapur paid Rs. 1,700 in cash towards electricity charges for September.
80. 20-10-2021 Ms. Kapur paid Rs.2,300 by cheque towards mobile phone bill charges for September.
81. 23-10-2021 Ms. Kapur introduced further capital into the firm by bringing in cash of Rs.1,00,000.
82. 24-10-2021 Ms. Kapur deposited cash amounting to Rs.75,000 in HDFC Bank.
83. 26-10-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.1,600 in cash to Vijay Narayan.
84. 28-10-2021 Ms. Kapur entered into a contract with Planet Consultancy for providing services at an
agreed price of Rs.35,000. An advance of Rs.10,000 was received by cheque.
Trial Balance 7,73,100/-
Transaction for November 2021
85. 01-11-2021 Ms. Kapur withdrew Rs.8,000 cash for personal use.
Ms. Kapur received an invoice for Rs.7,200 from Raj Travels. This includes Rs.2,800
86. 02-11-2021
towards cab hiring charges and Rs.4,400 towards outstation tours.
87. 05-11-2021 Ms. Kapur paid salaries for October by cheque. (Refer transaction 5)
88. 08-11-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for October.
Ms. Kapur received Rs.27,500 by cheque as consulting revenue from Trishul Software
89. 10-11-2021
Solutions.
90. 12-11-2021 Ms. Kapur paid office rent for October by cheque. (Refer transaction 4)
91. 15-11-2021 Planet Consultancy terminated their contract and the advance of Rs. 10,000 was
refunded to them by cheque.
HDFC Bank intimated Ms. Kapur that the cheque of Trishul Software Solutions for
92. 20-11-2021 Rs.27,500 had bounced. Trishul Software Solutions was informed of this development
and they promised to pay the amount in few days. (Refer transaction 89)
93. 21-11-2021 Ms. Kapur paid Rs.950 in cash towards electricity bill charges for October.
94. 23-11-2021 Ms. Kapur received Rs.12,500 in cash from Trishul Software Solutions.
95. 25-11-2021 Ms. Kapur paid Rs.1,470 by cheque towards mobile phone bill charges for October.
96. 27-11-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.900 in cash to Vijay Narayan.
List of Transaction (Project Based Exercise)

97. 30-11-2021 Ms. Kapur withdrew Rs.6,500 cash for personal use.
Trial Balance 7,97,800/-
Transaction for December 2021
The statement, received from HDFC Bank, shows that the bank has charged Rs.550 as
98. 03-12-2021 cheque bouncing charges and Rs.330 as cheque book charges. Cheque bouncing
charges are to be recovered from Trishul Software Solutions. (Refer transaction 92)
99. 05-12-2021 Ms. Kapur paid office rent for November by cheque. (Refer transaction 4)
100. 06-12-2021 Ms. Kapur paid salaries for November by cheque. (Refer transaction 5)
Ms. Kapur received invoice from Raj Travels for Rs.6,200. This includes Rs.3,000
101. 08-12-2021
towards cab hiring charges and Rs.3,200 towards outstation tours.
Ms. Kapur received Rs.50,000 by cheque as consulting revenue from Unigrand
102. 09-12-2021
Technologies.
103. 10-12-2021 Ms. Kapur withdrew Rs.30,000 cash from HDFC Bank.
104. 11-12-2021 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for November.
Ms. Kapur purchased Rs. 12,000 worth office equipment on credit from Transform Tech
105. 15-12-2021
Pvt. Ltd. The asset does not have any disposal value after its useful life of six years.
106. 16-12-2021 Ms. Kapur paid Rs.1,450 by cheque towards mobile phone bill charges for November.
107. 18-12-2021 Ms. Kapur paid Rs.850 in cash towards electricity bill charges for November.
108. 20-12-2021 Ms. Kapur reimbursed conveyance bills amounting to Rs.1,100 in cash to Vijay Narayan.
109. 23-12-2021 Ms. Kapur paid Rs. 12,000 by cheque to Transform Tech Pvt. Ltd.
110. 24-12-2021 Ms. Kapur raised invoice for Rs.42,500 on InGroove Designers for consultancy services.
111. 25-12-2021 Ms. Kapur received Rs. 15,550 in cash from Trishul Software Solutions.
112. 28-12-2021 Ms. Kapur withdrew Rs.6,000 cash for personal use.
113. 31-12-2021 Ms. Kapur paid Rs.7,500 by cheque towards professional charges for internal audit of
accounts.
Trial Balance 8,96,500/-
Transaction for January 2022
114. 03-01-2022 Ms. Kapur paid office rent for December by cheque. (Refer transaction 4)
115. 05-01-2022 Ms. Kapur received Rs.30,000 in cash from InGroove Designers.
116. 06-01-2022 Ms. Kapur paid salaries for December by cheque. (Refer transaction 5)
117. 10-01-2022 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for December.
118. 12-01-2022 Ms. Kapur received Rs.35,000 by cheque as consulting revenue from Ala Carte
Investments.
119. 15-01-2022 Ms. Kapur withdrew Rs.50,000 capital from the firm by cheque.
120. 18-01-2022 Ms. Kapur paid Rs.2,300 by cheque as mobile phone bill charges for December.
121. 21-01-2022 Ms. Kapur paid Rs.1,050 in cash towards electricity charges for December.
122. 23-01-2022 Ms. Kapur reimbursed conveyance bills amounting to Rs.1,800 in cash to Vijay Narayan.
123. 30-01-2022 Ms. Kapur withdrew Rs.8,000 cash for personal use.
Trial Balance 8,81,500/-
Transaction for February 2022
124. 05-02-2022 Ms. Kapur paid office rent for January by cheque. (Refer transaction 4)
125. 06-02-2022 Ms. Kapur paid salaries for January by cheque (Refer transaction 5).
Ms. Kapur received an invoice from Raj Travels for Rs.9,400. This includes Rs.3,800
126. 10-02-2022
towards cab hiring charge and Rs.5,600 towards outstation tours.
127. 11-02-2022 Ms. Kapur paid Rs.20,000 by cheque to Raj Travels.
128. 12-02-2022 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for January.
129. 15-02-2022 Ms. Kapur paid Rs.1,600 by cheque towards mobile phone bill charges for January.
130. 18-02-2022 Ms. Kapur paid Rs.1,200 in cash towards electricity bill for January.
131. 20-02-2022 Ms. Kapur reimbursed conveyance bills of Rs.1,150 in cash to Vijay Narayan.
List of Transaction (Project Based Exercise)

Ms. Kapur purchased stationery consumables worth Rs.7,400 on credit from Global
132. 24-02-2022
House.
133. 28-02-2022 Ms. Kapur withdrew Rs.7,000 cash for personal use.
Trial Balance 8,78,300/-
Transaction for March 2022
134. 03-03-2022 Ms. Kapur paid salaries by cheque for February. (Refer transaction 5)
135. 05-03-2022 Ms. Kapur paid office rent for February by cheque. (Refer transaction 4)
136. 08-03-2022 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for February.
Ms. Kapur received Rs.30,000 in cash as consulting revenue from Eye Television
137. 10-03-2022
Network.
138. 12-03-2022 Ms. Kapur paid Rs.1,450 in cash towards electricity bill for February.
139. 15-03-2022 Ms. Kapur paid Rs.1,900 by cheque towards mobile phone bill charges for February.
140. 18-03-2022 Ms. Kapur reimbursed conveyance bills of Rs.950 in cash to Vijay Narayan.
Invoice received from Global House on February 24, had an error in calculation and was
141. 20-03-2022
overvalued by Rs.600. (Refer transection 132)
142. 21-03-2022 Ms. Kapur paid Rs.6,800 by cheque to Global House.
143. 25-03-2022 Ms. Kapur withdrew Rs.6,500 cash for personal use.
Provision Entries
Ms. Kapur received Rs.20,000 cash as consulting revenue from ForeC Marketing
144. 01-04-2022
Solutions. The services had already been provided in March.
145. 01-04-2022 Ms. Kapur paid office rent for March by cheque.
146. 01-04-2022 Ms. Kapur paid salaries by cheque for March.
147. 01-04-2022 Ms. Kapur paid Rs.750 in cash towards office maintenance charges for March.
148. 01-04-2022 Ms. Kapur paid Rs.1,690 by cheque towards mobile phone bill charges for March.
149. 01-04-2022 Ms. Kapur reimbursed conveyance bills amounting to Rs.1,300 in cash to Vijay Narayan.
The bills pertain to March.
150. 01-04-2022 Ms. Kapur received an invoice from Raj Travels for Rs.6,600. This includes Rs.2,900
towards cab hiring charges and Rs.3,700 towards outstation tours.
151. 01-04-2022 Ms. Kapur paid Rs.870 in cash towards electricity bill for March.

Depreciation Entries
Annual
Value to be Useful life No. of days Depreciation for
Sl. No.

Purchase depreciatio
Asset Name Depreciated (In Year) used in the 2021-21 (c) * (d)
Date n (a) / (b) =
(a) (b) year (d) / 365= (e)
(c)
1. Computer 02-04-2021 22,500 4 5,625 364 5,610
2. Cell Phone 15-04-2021 6,000 5 1,200 351 1,154
3. Furniture 15-04-2021 20,000 8 2,500 351 2,404
4. Air Conditioner 15-04-2021 20,000 6 3,333 351 3,205
5. Electrical Fitting 15-04-2021 15,000 10 1,500 351 1,442
6. Office Equipment 15-12-2021 12,000 6 2,000 107 586
Total 14,401/-
List of Transaction (Project Based Exercise)

Adjustment Entries for Prepaid Expense

Nature Payment Period of Amount Prepaid Period Prepaid Amount for
Date Subscription / (b) (c) Amount Current year (b)-
Insurance (a) (b)/(a)*(c)=(d) (d)=(e)
Magazine 06-07-2021 01-07-2021 to 2,400 01-04-2022 to 1,500 900
Subscription 30-06-2023 30-06-2023
(24 Months) (15 Months)
Insurance 01-08-2021 01-08-2021 to 6,000 01-04-2022 to 2,000 4,000
31-07-2022 31-07-2022
(12 Months) (04 Months)

Other Adjustment Entries

Sl. No. Nature of Transaction
1. Provisions for income tax (2021-22) has to be made at Rs. 17,500.
2. Closing stock of stationery consumables on March 31, 2022 was Rs. 5000.
3. Transfer balance of withdrawals account to Nandini Kapur's Capital A/c.

Closing Entry
Sl. No. Nature of Transaction
1. Transfer balance of Profit and Loss Account Rs. 2,25,589 to Nandini Kapur Capital Alc.
Trial Balance 11,09,199/-