I need 20 journal entries with ledger and trial balance?

20 Journal Entries

Journal is the book of initial entry, hence the transactions are at first recorded in the journal by the way of journal entries.

Journal entries are made as per the double entry system of accounting, where for each transaction one account is debited and another account is credited.

In the case of compound journal entries, one set of accounts is debited and one set of accounts is credited.

The amount of debit and credit always remains the same.

For example, when cash is introduced into a business, it affects two accounts: Cash A/c and Capital A/c. The accounts are debited and. credited as per the golden rules of accounting.

The journal entries which I have provided are based on the following transactions and events:

1. The business started with Rs. 1,00,000 
2. Bought machinery for Rs. 15,000 and furniture for Rs. 10,000
3. Purchased goods of Rs. 20,000 with cash 
4. Bought Stationery for Rs. 500 
5. Cash deposited into bank Rs. 40,000 
6. Goods sold to Matt for Rs. 15,000 
7. Purchased goods from Uday of Rs. 30,000 
8. Being Rs. 5,000 rent paid for premises 
9. Cheque received from Matt of Rs. 15,000 
10. Defective goods returned to Uday returned of Rs. 2,000 
11. Cash sales of Rs. 25,000 
12. Carriage Inward paid Rs. 700
13. Cash withdrawn from bank Rs. 15,000 
14. Full payment made to Uday in cash. Discount received from Uday Rs. 1000.
15. Refreshments given to customers of Rs. 200
16. Goods sold to Shyam for Rs. 7,500 
17. Goods purchased from Ram of Rs. 50,000 
18. Salaries paid to employees by bank Rs. 5,000 
19. Good sold to Suri for Rs. 25,000 
20. Insurance premium paid of Rs. 1,500 by the bank.

Journal Entries

The journal entries based on the above are as follows:

Ledgers

Ledger is known as the book of final entry. It is the book where the transactions related to a specific account are posted. This posting of transactions is done from journal entries.

The posting of journal entries into the ledger is performed in the following way:

The journal entry of cash sales is :

Here, Cash A/c is debited to Sales A/c. So, in the Cash A/c ledger, posting will be made on the debit side as “To Sales A/c”

In the Sales A/c ledger, the posting will be made on the credit as “By Cash A/c” because Sales A/c is credited to Cash A/c

For creating ledgers, journal entries are a prerequisite.

Now, the ledgers to be created as per the journal entries made above are as follows:

1. Cash A/c
2. Bank A/c
3. Capital A/c
4. Furniture A/c
5. Machinery A/c
6. Purchase a/c
7. Sales A/c
8. Matt A/c (Debtor)
9. Uday A/c (Creditor)
10. Rent A/c
11. Purchase Return A/c
12. Stationery A/c
13. Carriage Inward A/c
14. Refreshment A/c
15. Shyam A/c (Debtor)
16. Ram A/c (Creditor)
17. Suri A/c (Debtor)
18. Refreshment A/c
19. Discount Received A/c

The account ledgers are as follows:

Trial Balance

A trial balance is a statement that is prepared to check the arithmetical accuracy of books of accounts.

In this statement, the total of all accounts having debit balance and the total of all accounts having credit balance is computed. If the total of debit and credit matches, then it can be said that the books of accounts are arithmetically accurate.

Here also we have prepared the trial balance by computing the total of accounts  having debit balances and the total of  accounts having credit balances

The debit column total and credit column total are matching. Hence, we can say that the books of accounts we have prepared are arithmetically accurate.

Note: Matt A/c and Uday A/c have not appeared in the trial balance because they do not have any carrying balance.