Question 1:

Following transactions are related to the business of Mr. Ameer during March 2002. 1. Purchased Merchandise on credit from Mr. Zaheer for Rs. 100000. 3. Paid Carriage in Rs. 5000.

4. Purchased Goods from Mr. Ali for Rs. 50000 and paid Carriage in Rs. 5000. 10. Returned Goods to Mr. Ali Rs. 10000.

12. Paid Cash to Mr. Ali in full settlement Rs. 38000.

15. Sold goods for Cash Rs. 40000.

16. Sold merchandise on credit to Mr. Bashir for Rs. 75000.

20. Goods Returned by Mr. Bashir Rs. 5000.

21. Received Cash from Mr. Bashir in full settlement Rs. 64000.

Required:

Give necessary Journal Entries.

Question 2:

Following are the selected transactions related to the business of Aslam Stores during January 2002.

1. Purchased merchandise for Cash and on credit from Mr. Ali for Rs. 40000 and Rs. 60000 respectively.

2. Paid Carriage in Rs. 10000.

4. Sold goods for cash and an account to Mr. Nasir for Rs. 30000 and Rs. 70000. 10. Merchandise returned to Mr. Ali costing Rs. 5000.

12. Merchandise returned by Mr. Nasir Rs. 10000.

15. Paid Cash to Mr. Ali Rs. 15000.

20. Received Cash from Mr. Nasir Rs. 20000.

22. Purchased goods for Cash Rs. 40000.

23. Sold goods for Cash Rs. 50000.

25. Merchandise returned to suppliers for Cash Rs. 1500.

26. Paid Cash to Mr. Ali Rs. 10000.

27. Received Cash from Mr. Nasir Rs. 36500 in full settlement.

28. Merchandise returned by customer for Cash Rs. 2500.

30. Paid Cash to Mr. Ali 28000 in full settlement.

Required:

Give necessary Journal Entries.

Question 3:

On March 1, 2004 Mr. Ali commenced his business with cash investment of Rs. 300000. 01. Purchased Office Supplies and Furniture for cash Rs. 2000 and Rs. 10000 respectively and Equipment on credit from Mr. Michel for Rs. 15000.

02. Purchased Merchandise for cash and on credit form Mr. Nasir for Rs. 30000 and Rs. 60000 respectively and paid carriage in Rs. 2000.

03. Sold Merchandise for cash and on credit to Mr. Yasir for Rs. 20000 and Rs. 40000 respectively.

05. Purchased Merchandise on credit from Mr. Yawer Rs. 50000 and paid carriage in Rs. 3000.

06. Paid cash to Mr. Michel Rs. 10000.

07. Returned goods to Mr. Yawer Rs. 10000.

10. Sold merchandise on credit to Mr. Saad for Rs. 30000.

11. Paid Cash to Mr. Nasir and Mr. Yawer Rs. 20000 and Rs. 10000 respectively. 12. Merchandise returned by Mr. Yasir and Mr. Saad Rs. 5000 and Rs. 10000 respectively. 15. Paid cash to Mr. Yawer Rs. 28000 in full settlement.

16. Received Cash from Mr. Yasir and Mr. Saad Rs. 15000 and Rs. 5000. 20. Paid Salaries Rs. 30000 and Rent Rs. 10000.

21. Received Cash Rs. 11000 from Mr. Saad in full settlement

Required:

a. Give necessary Journal Entries to record the above transactions.

b. Prepare Pre-Closing Trial Balance as on March 31, 2004.

c. Compute net Sales.

d. Compute Delivered Cost of Purchases.