Double Column Cash Book without Contra Entry

 

What is double column cash book?

It is also called two column cash book.

Under this, two amount columns are prepared in one side.

Receipt amount is recorded in debit side.

Payment amount is recorded in credit side.

From this account cash balance or bank balance is found out.

Under double column cash book, following cash books are prepared:

Cash and discount

Bank and discount   

Cash and bank

Double Column Cash Book (Cash and Discount)

Date	Receipt	LF	Cash	Dis	Date	Payment	LF	Cash	Dis
	To Balance b/d
						By Balance c/d
			xxxx	xxx				xxxx	xxx

Or

Double Column Cash Book (Bank and Discount)

Date	Receipt	LF	Bank	Dis	Date	Payment	LF	Bank	Dis
	To Balance b/d
						By Balance c/d
			xxxx	xxx				xxxx	xxx

 

 

Keep in mind (KIM)        

Bank balance may be in debit balance (bank balance) or credit balance (bank overdraft)

Opening balance = beginning balance = balance b/d

Closing balance = ending balance = balance c/d

 

Here, Amount = Rs = $ = £ = € = ₹ = Af = ৳ = Nu = Rf = රු = Currency of your country

PROBLEM: 2A

The following extracted balances are given by KK Traders:

        Jan 1:     Opening cash balance Rs 55,000.

        Jan 2:     Goods purchased from Binesh worth Rs 45,000 and paid partially Rs 30,000.

        Jan 5:     Goods sold to Rita for Rs 25,000 and cash received Rs 20,000 in partial.

        Jan 10:   Electricity bill paid Rs 1,000.

        Jan 15:   Equipment purchased for Rs 5,000.

        Jan 18:   Cash paid to Binesh Rs 14,700 in full settlement.

        Jan 22:   Cash received from Rita and discount allowed Rs 200.

        Jan 28:   Rent paid in Rs 10,000.

        Jan 29:   Cash withdrawn for personal use Rs 3,000.

Required: Double column cash book for the month of Jan                   

[Answer: Cash balance = 16,100]

SOLUTION:

Double Column Cash Book (Cash and Discount)

Date	Receipt	LF	Cash	Dis	Date	Payment	LF	Cash	Dis
Jan 1	To Balance b/d		55,000	−	Jan 2	By Purchase A/c		30,000	−
Jan 5	To Sales A/c		20,000	−	Jan 10	By Electricity exp.		1,000	−
Jan 22	To Rita’s A/c		4,800	200	Jan 15	By Equipment A/c		5,000	−
					Jan 18	By Binesh’s A/c		14,700	300
					Jan 28	By Rent A/c		10,000
					Jan 29	By Drawings A/c		3,000
					Jan 31	By Balance c/d		16,100
			79,800	200				79,800	300

Keep in Mind (KIM)

Rs 200 is discount allowed coz debit side.

Rs 300 is discount received coz credit side.

Rs 16,100 is cash balance, it difference of Dr and Cr viz 79,800 – 63,700 = Rs 16,100.

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Here, Amount = Rs = $ = £ = € = ₹ = Af = ৳ = Nu = Rf = රු = Currency of your country

PROBLEM: 2B

The following extracted balances are given by KL Traders:

    Jan 1:     Opening balance of bank Rs 70,000.

    Jan 2:         Goods purchased from Binisha worth Rs 60,000 and cheque issued Rs 40,000 partial.

    Jan 5:     Goods sold to Ritika for Rs 25,000.

    Jan 10:   Cash deposited into bank for Rs 10,000.

    Jan 15:   Cheque issued to Binisha for Rs 19,500 in full settlement.

    Jan 20:   Cheque received from Ritika after Rs 200 discount.

    Jan 25:   Commission paid by cheque Rs 5,000.

    Jan 30:   Cash withdrawn from bank for office use Rs 30,300.

Required: Double column cash book for the month of Jan                   

[Answer: Bank balance = 10,000]

SOLUTION:

Double Column Cash Book (Cash and Discount)

Date	Receipt	LF	Cash	Dis	Date	Payment	LF	Cash	Dis
Jan 1	To Balance b/d		70,000	−	Jan 2	By Purchase A/c		40,000	−
Jan 10	To Cash A/c		10,000	−	Jan 15	By Binisha’s A/c		19,500	500
Jan 20	To Ritika’s A/c		24,800	200	Jan 2	By Commission A/c		5,000
					Jan 2	By Cash A/c		30,300
					Jan 2	By Balance c/d		10,000
			104,800	200				104,800	500

********

PROBLEMS  AND  ANSWERS

 

Here, Amount = Rs = $ = £ = € = ₹ = Af = ৳ = Nu = Rf = රු = Currency of your country

PROBLEM: 2A       

The following extracted balances are given by KK Traders:

    March 1:          Debit cash balance Rs 55,000.

    March 2:          Goods purchased from Geeta for Rs 40,000 and partial cash paid Rs 20,000.

    March 5:          Cash received from Manisha Rs 19,500 and discount allowed Rs 500.

    March 10:       Wages paid Rs 1,000.

    March 15:       Furniture purchased for Rs 5,000.

    March 18:       Cash paid to Geeta Rs 19,500 in full settlement.

    March 28:       Advertisement expenses paid in cash Rs 4,000.

    March 29:       Cash withdrawn for personal use Rs 5,000.

Required: Double column cash book for the month of March

[Answer: Cash balance = 20,000]

Here, Amount = Rs = $ = £ = € = ₹ = Af = ৳ = Nu = Rf = රු = Currency of your country

PROBLEM: 2B   

The following extracted balances are given by KL Traders:

          February 1:         Debit bank balance Rs 95,000.

          February 5:         Goods sold to Ritika for Rs 25,000 on credit.

          February 10:       Commission received by cheque Rs 5,000.

          February 15:       Cheque issued to Binisha for Rs 54,000 in full settlement of Rs 55,000.

          February 20:       Cheque received from Ritika after Rs 500 discount.

          February 25:       Computer printer purchase by cheque Rs 10,000.

          February 27:       Salary paid by cheque Rs 27,000.

          February 28:       Cash withdrawn from bank for office use Rs 20,000.

Required: Double column cash book for the month of February 

[Answer: Bank balance = 13,500

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