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Question#1 Dec 1. Mr Rasool commenced business with the Capital of Rs. 10,00,000 cash. Dec 1 Purchased for Rs. 140000 equipment and made Rs. 40000 cash and issued 6 months notes payable for balance amount at 6% per annum interest. Dec 2. Purchased office furniture for Rs. 240000 and paid Rs. 150000 in cash and balance to be paid in 30 days with useful life of 5 years. Dec 3. Purchased office supplies on account from Flowers Inc., for Rs. 65000. Payment is due within 30 days. Dec 5. Purchased computer systems for Rs. 100000 from AP Computers and paid Rs. 20000 in cash. Balance amount to be paid in two equal installments on December 21, and January 10 next year. Dec 17. HB Bros., found that a computer system was not working well that was purchased from AP Computer on account. Therefore, the company returned this system that costs Rs. 12500. Dec 21. Rented a small portion of land to a firm for business activities at Rs. 2000 per day. However, full amount will be collected when business activities come to an end. The activities are expected to last for at least next two weeks. Dec 21. Paid first installment of computer system purchased from AP Computers. Dec 26. He withdraws Rs. 10,000 from business for personal use Dec 27. Mr. Rasool take one computer system from business to personal use at home Rs. 200000. Dec. 29 He redeposit amount Rs. 5000 into business. Dec. 31. Paid half amount of notes payable. Required: (i) Make necessary Journal Entries (ii) Post entries to ledger accounts (iii) Extract a trial balance at 31st December, 2019 (iv) Prepare Balance Sheet for the month ended 31st December, 2019