INSTITUTE OF PROFESSIONAL

EDUCATION AND RESEARCH BHOPAL

SINCE 1996

ACCOUNTING FOR MANAGER ASSIGNMENT

Departmental store

MBA Semester-I Section-5

Group No. 01

Submitted To:-
Prof. Ajay Mishra Submitted By:- Akansha
Chaubey

- Bhawna
Meghani

- Ishita Jain

- Shivanshu Tiwari
 DAILYWISH

A departmental Store is a retail establishment offering a wide range of consumer goods in

different areas of the store. Each area known as department, specialising in a product
category.

DAILYWISH is a departmental Store which offers a wide range and variety of products under
one roof at reasonable prices. DAILYWISH offers the following products: Grocery, books,
stationery, cosmetics, and clothing.

Origination:

Ms. Anita Singh lives in Bhopal, Madhya Pradesh decided to set up her own departmental
store and named it as “DAILYWISH”.

Initially She invested her savings as capital and took loan from bank at 10% interest annually,
which is going to pay each year to the bank.

Then she searched for the place and decided to buy a building for her store and well furnished
it, filled it with stock and promoted her shop through advertising.

She also hired two people on salary basis who worked under her guidance, also one of them
maintained all books of accounts and another one looked after store.

She did not resist on selling the product on credit even on initial stage which helped her
create her customer base and maintain customer relation.

Initially she also bought his stock on credit but later made payment to her creditor.

Seeing the safety reasons she later bought CCTV camera for her shop and decided to charge
depreciation on all his fixed assets at 10% per annum on straight line method at the end of
every financial year i.e, on 31 st March.
 Transactions:
Date Particulars
1 Sep 2018 Started Departmental store with capital of Rs 80 lakhs in cash.

2 Sep 2018 Loan taken from bank of Rs 50 lakh for business purpose.

5 Sep 2018 Purchased building at (vashali nagar) bhopal for Departmental Store and
payment done by cheque Rs 25 lakhs.
5 Sep 2018 Purchased furniture for shop and payment done by cheque of Rs 4 lakhs.

5 Sep 2018 Purchased stock payment done by cheque of Rs 15 lakh.

10 Sep 2018 Stock purchased on credit from Mr. Rana of Rs 5 lakhs.

12 Sep 2018 Cartage paid Rs 15,000 in cash.

15 Sep 2018 Amount paid for promotion as advertisement expenses Rs 30,000.

16 Sep 2018 Sold Goods worth Rs. 4,00,000 and payment received by cheque of Rs 5,00,000.

18 Sep 2018 Goods sold to Ms. Priya on credit for Rs 28,000.

20 Sep 2018 Salary paid to both employees by cheque Rs 20,000.

23 Sep 2018 Telephone bill paid Rs 2000

24 Sep 2018 Deposited Rs 15 lakhs in bank.

25 Sep 2018 Payment made to Mr. Rana by cheque Rs 2 lakhs.

26 Sep 2018 Goods of Rs 15000 withdrawn by Mr. Anita(Owner).

26 Sep 2018 Paid electricity bill in cash Rs 18,000.

27 Sep 2021 Goods of Rs 15,000 is given as gift to Mr. Ram (Brother of Ms. Anita)

28 Sep 2018 Ms. Priya who owed Rs. 28000 became insolvent paid by cheque Rs 20,000
only in final and full settlement
29 Sep 2018 Cash withdrawn from bank Rs 40,000.

30 Sep 2018 CCTV camera purchased Rs 10,000 and paid by cheque.

 Journal Entries
Dr. Cr.

DATE PARTICULARS AMOUNT AMOUNT

DEBIT CREDIT
1 sep 2018 Cash a/c Dr. 80,00,000
To capital a/c
[Being business started with cash] 80,00,000
2 sep2018 Bank a/c Dr. 50,00,000 50,00,000
To Bank Loan a/c
[Being loan taken from bank for business
purpose]
5 sep 2018 Building a/c Dr. 25,00,000 25,00,000
To Bank a/c
[Being building purchased for
departmental store payment done by
cheque]
5 sep 2018 Furniture a/c Dr. 4,00,000 400,000
To Bank a/c
[Being furniture purchased for shop
payment made by cheque]
5 sep 2018 Purchases a/c Dr. 15,00,000 1500000
To Bank a/c
[Being goods purchased payment done
by cheque]
10 sep 2018 Purchases a/c Dr. 5,00,000 500000
To Mr. Rana a/c
[Being goods taken on credit from Mr.
Rana]
12 sep 2018 Cartage a/c Dr. 15,000
To Cash a/c 15,000
[Being cartage paid in cash]
15 sep 2018/ Advertisement expense a/c... . 30,000
Dr. 30,000
To Cash a/c
[Being advertisement expenses incurred
 for promotion paid in cash]
16 sep 2018 Bank a/c Dr. 500000
To Sales a/c
[Being good sold and payment received 500000
in bank by cheque]
18 sep 2018 Ms. priya a/c Dr. 28000
To Sales a/c
28000
[Being good sold to priya on credit]
20 sep 2018 Salary a/c 20,000
Dr.
To Bank a/c 20,000

[Being salary paid by cheque to both

employees]
23 sep 2018 Telephone expenses a/c Dr. 2,000
To Cash a/c 2000
[Being telephone bill paid in cash]
24 sep 2018 Bank a/c Dr. 1500000
To Cash a/c 1500000
[Being cash deposited in bank]
25 sep 2018 Mr. Rana a/c Dr. 200000 200000
To Bank a/c
[Being payment made to Mr. Rana by
cheque]
26 sep 2018 Drawings a/c Dr. 15000
To Purchases a/c
15000
[Being goods withdrawn by owner for
personal use]
26 sep 2018 Electricity expenses a/c 18000
Dr.
18000
To Cash a/c
[Being electricity bill paid in cash]
27 sep 2018 Drawings a/c Dr. 15000
To Purchases a/c
15000
[Being goods given as gift to Ram
(brother of owner) ]
28 sep 2018 Bank a/c... ..... ..... .................................Dr 20000
Bad Debts a/c 8000
28000
Dr.
To Ms. priya ‘s a/c
 [Being payment received from priya by
cheque]
29 sep 2018 Cash a/c Dr. 40000
To Bank a/c 40000
[Being cash withdrawn from bank]
30 sep 2018 CCTV Camera a/c Dr. 10,000
To Bank a/c
[Being cctv camera purchased and paid 10,000
by cheque]
TOTAL 20,321,000 20,321,000
 Ledger Posting
Cash A/C

Dr.
Cr.

Date Particular Amount Date Particulars Amount

s
1 sep 2018 To 80,00,00 12 sep 2018 By Cartage a/c 15000
Capital 0
a/c
29 sep 2018 To bank 40,000 15 sep 2018 By 30,000
A/c Advertisemen
t expense a/c
23 sep 2018 By Telephone 2,000
expense a/c
24 sep 2018 By Bank a/c 15,00,00
0
26 sep 2018 By Electricity 18000
expense
30 sep 2018 By Balance 6,47,5000
c/d
TOTAL 80,40,000 TOTAL 80,40,000

Capital A/c

Dr. Cr.
Date Particulars Amount Date Particulars Amount
30 sep 2018 To Balance 80,00,000 1 sep 2018 By Cash a/c 80,00,000
c/d

TOTAL 80,00,00 TOTAL 80,00,000

0
 Loan A/c

Dr. Cr.
Date Particulars Amount Date Particular Amount
s
30 sep 2018 By Balance 50,00,000 2 sep 2018 By bank 50,00,000
c/d a/c

TOTAL 50,00,000 TOTAL 50,00,000

Building A/C

Dr. Cr.
Date Particulars Amount Date Particulars Amount
5 sep 2018 To Bank a/c 25,00,000 30 sep 2018 By Balance 25,00,00
c/d 0

TOTAL 25,00,000 TOTAL 25,00,000

Furniture A/c

Dr. Cr.

Date Particulars Amount Date Particulars Amount

5 sep 2018 To Bank 4,00,000 30sep 2018 By Balance 4,00,000
a/c c/d

TOTAL 4,00,000 TOTAL 4,00,000

 Purchases A/c

Dr. Cr.
Date Particular Amount Date Particular Amount
s s
5 sep 2018 To Bank 15,00,000 26 sep 2018 By 15000
a/c Drawings
a/c
10 sep 2018 To Mr. 5,00,000 27 sep 2018 By 15000
rana Drawings
a/c
30 sep 2018 By 19,70,000
Trading &
Profit/loss
a/c
TOTAL 20,00,000 TOTAL 20,00,000

Electricity Expense

Dr. Cr.
Date Particulars Amount Date Particulars Amount
26 sep 2018 To Cash a/c 18,000 30 sep By 18,000
2018 Profit/Los
s a/c

TOTAL 18,000 TOTAL 18,000

Cartage A/c
Dr. Cr.
Date Particulars J.F Amount Date Particulars Amount

12 sep. To Cash a/c 15,000 30 sep 2018 By Profit/Loss 15,000

2018 a/c

TOTAL 15,000 TOTAL 15,000

Advertisement Expense A/c

Dr. Cr.
Date Particular Amount Date Particulars Amount
s
15 sep 2018 To Cash 30,00 30 sep 2018 By Profit/Loss 30,000
a/c 0 a/c

TOTAL 30,00 TOTAL 30,000

0

Salary A/c

Dr. Cr.
Date Particular J.F Amount Date Particulars J.F Amount
s
20 sep 2018 To Bank 20,000 30 sep 2018 By Profit/Loss 20,000
a/c a/c

TOTAL 20,000 TOTAL 20,000

Telephone Expense A/c

Dr. Cr.
Date Particular J.F Amount Date Particulars Amount
s
23 Sep 2018 To Cash 2,000 30 Sep 2018 By Profit/Loss 2,000
a/c a/c

TOTAL 2,000 TOTAL 2,000

Mr. Rana A/c

Dr. Cr.
Date Particular Amount Date Particulars Amount
s
25 sep 2018 To Bank 2,00,000 10 sep 2018 By Purchases 5,00,000
a/c a/c
30 sep 2018 To 3,00,000
Balance
c/d
TOTAL 5,00,000 TOTAL 5,00,000

Drawings A/c

Dr. Cr.
Date Particulars J.F Amount Date Particulars J.F Amount
26 Sep 2018 To Purchases 15,000 30 Sep 2018 To Balance 30,000
a/c c/d
27 Sep2018 To Purchases 15,000
a/c
TOTAL 30,000 TOTAL 30,000

Ms. Priya’s A/c

Dr. Cr.
Date Particular J.F Amount Date Particulars Amount
s
18 sep 2018 To Sales 28000 28 sep 2018 By Bank a/c 20000
a/c
28sep 2018 By Bad Debts 8000
a/c
TOTAL 28000 TOTAL 28000

Bad Debts A/c

Dr. Cr.
Date Particulars Amount Date Particulars J. Amount
F
28 Sep 2018 To Ms. Priya’s /c 8,000 30 Sep By 8000
2018 Profit/Loss
a/c

TOTAL 8,000 TOTAL 8,000

CCTV Camera A/c

Dr. Cr.
Date Particular Amount Date Particulars Amount
s
30 Sep 2018 To Bank 10,00 30 Sep 2018 By Balance 10,000
a/c 0 c/d

TOTAL 10,00 TOTAL 10,000

0

Bank A/c
Dr. Cr.
Date Particulars J.F Amount Date Particulars J.f Amount
2 SEP 2018 To bank 50,00,000 5 sep 2018 By Building 25,00,000
Loan a/c a/c
16 sep 2018 To Sales 5,00,000 5 sep 2018 By 4,00,000
a/c Furniture
a/c
24 sep 2018 To Cash a/c 15,00,00 5 sep 2018 By 15,00,000
0 Purchases
a/c
28 sep 2018 To Ms. 20,000 20 sep 2018 By Salary 20,000
Priya's a/c a/c
25sep 2018 By Mr. 200000
Rana's a/c

29 sep 2018 By Cash a/c 40000

30 sep 2018 By CCTV 10,000
Camera a/c
30Sep2018 By Balance 23,50,000
C/d
TOTAL 70,20,000 TOTAL 70,20,000

Sales A/c

Dr. Cr.
Date Particulars J.F Amount Date Particulars J.f Amount
30 Sep 2018 To Balance 528000 16 sep 2018 By Bank 5,00,000
c/d
18 sep 2018 By Ms. 28,000
Priya
TOTAL 528000 TOTAL 5,28,000
 Trial Balance

Particulars Amount [Dr.] Amount [Cr.]

Cash 64,75,000

Capital 80,00,000

Loan , 50,00,000

Building 25,00,000

Furniture 4 ,00,000

Purchases 19,70,000

Sales 528000

Electricity Expense 18,000

Cartage 15,000

Advertisement Expense 30,000

Salary 20,000

Telephone Expense 2,000

Drawings 30,000

CCTV Camera 10,000

Bad Debts 8000

Bank 23,50,000

Creditors 3,00,000
 Total 13,828,000 13,828,000

Assets = Capital + Liabilities

Accounting Equation
Transactio Capital + Loan + Creditors = Cash + Bank + Building + Furniture + Stock + Debtor +
n CCTV
01 80,00,000 + 00 + 00 = 80,00,000 + 00 + 00 + 00 + 00 + 00 + 00
02 80,00,000 + 50,00,000 + 00 = 80,00,000+ 50,00,000 + 00 + 00 + 00 + 00 + 00
80,00,000+ 50,00,000 + 00 + 00 + 00 + 00 + 00
03 80,00,000 + 50,00,000 + 00 = 00 - 25,00,000 + 25,00,000 + 00 + 00 + 00 + 00
80,00,000 + 25,00,000 +25,00,000 + 00 + 00 + 00 + 00
04 80,00,000 +50,00,000 + 00 00 -4,00,000 +00 +4,00,000 +00 + 00 + 00
=
80,00,000 +50,00,000 + 00 80,00,000 +21,00,000 + 25,00,000 + 4,00,000 + 00 + 00 +
05 = 00
00 + 00 + 00 + 00 00 -15,00,000 + 00 + 00 + 15,00,000 +00 +
= 00

80,00,000 + 50,00,000 + 00 80,00,000 + 6,00,000 + 25,00,000 + 4,00,000 +15,00,000 + 00 +

06 = 00
00 + 00 +5,00,000 00 + 00 + 00 + 00 +5,00,000 +00 +
00
80,00,000 + 50,00,000 + 5,00,000 80,00,000 + 6,00,000 + 25,00,000 + 4,00,000 +20,00,000 + 00
07 = + 00

-15000 + 00 + 00 + 00 -15000 + 00 + 00 + 00 + 00 +00 +

= 00
7985000 + 50,00,000 + 5,00,000 79,85,000 + 6,00,000 + 25,00,000 + 4,00,000 +20,00,000 + 00
08 = + 00
-30,000 +00 + 00 -30,000 + 00 + 00 + 00 + 00 +00 +
00
7,955,000 + 50,00,000 + 5,00,000 7,955,000 + 6,00,000 + 25,00,000+ 4,00,000 + 20,00,000 + 00
= +00
09
+1,00,000 + 00 + 00 00 + 5,00,000 + 00 + 00 - 4,00,000 + 00 +
= 00
10 80,55,000 +50,00,000 + 5,00,000 7,955,000 + 11,00,000 + 25,00,000 + 4,00,000 + 16,00,00 + 00 +
= 00

00 + 00 + 00 00 + 00 + 00 + 00 - 28,000 + 28000 +
= 00
80,55,000 +50,00,000 + 5,00,000 7,955,000 + 11,00,000 + 25,00,000 + 4,00,000 + 15,72,000+ 28000
= +0
11
- 2000 + 00 + 00 00 - 20,000 + 00 + 00 + 00 + 00 +
= 00
80,33,000 +50,00,000 + 5,00,000 7953000 + 10,80,000 + 25,00,000 4,00,000 + 15,72,000+ 28000
= + 00
12
-2,000 + 00 + 00 -2,000 + 00 + 00 + 00 + 00 + 00 +
= 00
80,33,000 + 50,00,000 + 5,00,000 79,53,000 + 10,80,000 + 25,00,000 + 4,00,000 + 15,72,000+ 28000
= +00
13
00 + 00 + 00 = - 15,00,000 + 15,00,000 + 00 + 00 + 00 + 00 +
00
80,33,000 + 50,00,000 + 5,00,000 64,53,000 + 25,80,000 + 25,00,000 + 4,00,000 + 15,72,000 + 28000
= +00
14
00 + 00 - 2,00,000 = 00 - 2,00,000 + 00 + 00 + 00 + 00 +
00
80,33,000 + 50,00,000 + 3,00,000 64,53,000 +23,80,000 + 25,00,000 + 4,00,000 + 15,72,000 + 28000
= + 00
15
- 15,000 + 00 + 00 + 00 + 00 + 00 + 00 - 15,000 + 00 +
= 00
80,18,000 + 50,00,000 + 3,00,000 64,53,000 +23,80,000 + 25,00,000 + 4,00,000 + 15,57,000 + 28,000
= + 00
 16
- 18,000 + 00 + 00 - 18,000 +23,80,000 + 25,00,000 + 4,00,000 + 15,57,000 + 28,000
= + 00
80,00,000 + 50,00,000 + 3,00,000 64,35,000 +23,80,000 + 25,00,000 + 4,00,000 + 15,57,000 + 28,000
= + 00
17
- 15000 + 00 + 00 + 00 + 00 + 00 + 00 -15,000 + 00 +
00
79,85,000 + 50,00,000 + 3,00,000 64,35,000 +23,80,000 + 25,00,000 + 4,00,000 + 15,42,000+28,000+
= 00
18
- 8000 + 00 + 00 00 + 20,000 + 00 + 00 + 00 -28,000 +
00
79,77,000 +50,00,000 + 3,00,000 64,35,000 +24,00,000+ 25,00,000 + 4,00,000 + 15,42,000 + 00 +
19 = 00
00 + 00 + 00 = +40,000 - 40,000 + 00 + 00 + 00 + 00 +
00

79,77,000 +50,00,000 + 3,00,000 64,75,000 + 23,60,000 + 25,00,000 + 4,00,000 + 15,42,000 + 00 +

= 00
20
00 + 00 + 00 = 00 – 10,000 + 00 + 00 + 00 + 00 +
10,000
Equation 79,77,000 +50,00,000 + 3,00,000 = 64,75,000+23,50,000+25,00,000+4,00,000+15,42,000 + 00 +10,000