A of Lahore consigned ( Use 6050) radio sets costing Rs. 1,00 each to B of Sialkot on 1'March 2001. The expenses on consignment were freight Rs. 5,000, insurance Rs. 2,500, and

carriage Rs. 500. B received the delivery of 95% radio sets. An account sale dated 30th June 2001 showed that 75% sets were sold for Rs. 750,000 and B incurred Its. 2,350 for carriage; Its. 6,000 for godown rent. B was entitled to a commission of 6% on sales. B incurred expenses amounting to Rs. 2,800 for repairing the damaged radio sets remaining in stock Mr. A lodged a claim with insurance company which was admitted at Its. 22,500. Pass journal entries in both books and also make necessary accounts in both books.

Answer rating: 100% (QA)

As journal entries 1 March Debit Radio Sets 100 x 60 Cr... View the full answer