Question 13:
PRACTICAL PROBLEMS
On 1st Sept., 2010 Badrinath drew a bill of Rs 20,000 on Dinanath at 4 months. The bill was duly accepted by Dinanath. On 5th Sept., 2010 Badrinath endorsed the bill in favour of Somnath. However on 1st January, 2012 Dinanath approached to Badrinath and requested bill be renewed for a further period of 3 months at 15% p.a. Badrinath agreed and paid necessary money to Somnath. Before one month of the due date of the new bill Dinanath retired his acceptance @ 10% p.a.
Pass journal entries in the books Badrinath and Dinanath.
Note: As per the book, Dinanath approached Badrinath for the renewal of bill on January 01,2012 but it should be on January 01,2011.
Note: As per the book, Dinanath approached Badrinath for the renewal of bill on January 01,2012 but it should be on January 01,2011.
