by Journal is the primary book of accounting where all business transactions are recorded in chronological order for the first time. It shows the date, accounts affected, amounts debited and credited, and a brief description. Known as the book of original entry, the journal ensures accurate, systematic, and complete records for further posting to the ledger.
Simple Journal Problems in Table Format:
| S. No. | Transaction | Journal Entry | Debit (₹) | Credit (₹) |
|---|---|---|---|---|
|
1 |
Started business with cash ₹50,000 |
Cash A/c Dr. To Capital A/c (Being business started with cash) |
50,000 | 50,000 |
|
2 |
Purchased goods for cash ₹10,000 |
Purchases A/c Dr. To Cash A/c (Being goods purchased for cash) |
10,000 | 10,000 |
| 3 |
Sold goods for cash ₹15,000 |
Cash A/c Dr. To Sales A/c (Being goods sold for cash) |
15,000 | 15,000 |
| 4 |
Paid salary ₹5,000 |
Salary A/c Dr. To Cash A/c (Being salary paid) |
5,000 | 5,000 |
| 5 |
Purchased furniture for ₹8,000 |
Furniture A/c Dr. To Cash A/c (Being furniture purchased for cash) |
8,000 | 8,000 |
| 6 |
Received commission ₹2,000 |
Cash A/c Dr. To Commission Received A/c (Being commission received) |
2,000 | 2,000 |
| 7 | Paid rent ₹3,000 | Rent A/c Dr.
To Cash A/c (Being rent paid) |
3,000 | 3,000 |
| 8 | Withdrawn cash for personal use ₹1,500 | Drawings A/c Dr.
To Cash A/c (Being cash withdrawn for personal use) |
1,500 |
1,500 |
|
9 |
Paid to creditor ₹4,000 | Creditor’s Name A/c Dr.
To Cash A/c (Being amount paid to creditor) |
4,000 |
4,000 |
|
10 |
Received from debtor ₹6,000 |
Cash A/c Dr. To Debtor’s Name A/c (Being amount received from debtor) |
