Prepare a double column cash book with the help of following information for December 2016:
01 Started business with cash 1,20,000 03 Cash paid into bank 50,000 05 Purchased goods from Sushmita 20,000 06 Sold goods to Dinker and received a cheque 20,000 10 Paid to Sushmita cash 20,000 14 Cheque received on December 06, 2010, deposited into bank 18 Sold goods to Rani 12,000 20 Cartage paid in cash 500 22 Received cash from Rani 12,000 27 Commission received 5,000 30 Drew cash for personal use 2,000 Solution: Cash Book Dr. Cr. Date Particulars LF Cash Bank Date Particulars LF Cash Bank 2016 2016 Dec.01 Capital 1,20,000 Dec. 03 Bank C 50,000 Dec.03 Cash C 50,000 Dec. 10 Sushmita 20,000 Dec.06 Dinker 20,000 Dec. 14 Bank C 20,000 Dec.14 Cash C 20,000 Dec. 20 Cartage 500 Dec.22 Rani 12,000 Dec. 30 Drawings C 2,000 Dec.27 Commission 5,000