How do you solve three-column cash book problems?

Record all cash, bank, and discount transactions on both sides (receipts on debit, payments on credit). Ensure contra entries for bank-to-cash or cash-to-bank transfers are recorded on both sides.

What entries go in the purchase book?

Only credit purchases of goods (that the business deals in) are recorded in the purchase book. Cash purchases go in the cash book.

Recording of Transactions II — NCERT Class 11 Accountancy

How to Use These Solutions

These NCERT solutions cover every exercise question from CBSE Class 11 Accountancy Chapter 4 — Recording of Transactions II. Follow this approach for maximum benefit:

1. Attempt the question yourself first — do not read the solution before trying 2. Compare your answer with the worked solution below 3. Identify where you went wrong and understand the correction 4. Re-attempt the question after understanding the error

Key Concepts Recap

Before solving the exercises, review these essential concepts:

Cash Book: Book of original entry for all cash and bank transactions; serves as both journal and ledger
Three-column cash book: Has Cash, Bank, and Discount columns on both debit and credit sides
Contra entries: Appear on both sides (marked "C"); e.g., cash deposited into bank, cash withdrawn from bank
Discount columns: Totalled and transferred to ledger; not balanced like cash/bank columns
Petty cash book: Records small repetitive expenses; imprest system reimburses exact amount spent
Subsidiary books: Purchase Book (credit purchases of goods), Sales Book (credit sales of goods), Purchase Returns Book, Sales Returns Book
Journal Proper: For opening entries, closing entries, adjustment entries, rectification entries, credit purchase/sale of assets

Intext Questions

Question 1: Enter the following transactions in a Single-Column Cash Book of M/s Kamla Traders:

Answer

Date	Transaction	Amount (Rs)
2025 Jan 1	Started business with cash	50,000
Jan 3	Purchased goods for cash	15,000
Jan 5	Sold goods for cash	8,000
Jan 8	Paid rent	2,000
Jan 10	Received from Ramesh	5,000
Jan 15	Paid salaries	4,000
Jan 20	Purchased furniture	6,000
Jan 25	Withdrew for personal use	3,000
Jan 28	Sold goods for cash	12,000
Jan 31	Paid electricity bill	1,500

Solution — Single-Column Cash Book of M/s Kamla Traders

Date	Particulars	Amount (Rs)	Date	Particulars	Amount (Rs)
Jan 1	To Capital A/c	50,000	Jan 3	By Purchases A/c	15,000
Jan 5	To Sales A/c	8,000	Jan 8	By Rent A/c	2,000
Jan 10	To Ramesh	5,000	Jan 15	By Salaries A/c	4,000
Jan 28	To Sales A/c	12,000	Jan 20	By Furniture A/c	6,000
			Jan 25	By Drawings A/c	3,000
			Jan 31	By Electricity A/c	1,500
			Jan 31	By Balance c/d	43,500
	Total	75,000		Total	75,000
Feb 1	To Balance b/d	43,500

Question 2: Prepare a Three-Column Cash Book from the following:

Answer

Date	Transaction	Amount (Rs)
2025 Mar 1	Cash in hand	12,000
Mar 1	Bank balance (Cr.)	5,000
Mar 3	Cash sales	4,000
Mar 5	Deposited cash into bank	3,000
Mar 8	Received cheque from Ashok Rs 6,000, discount allowed Rs 300	5,700
Mar 10	Paid to Gupta by cheque Rs 4,000, discount received Rs 200	3,800
Mar 12	Withdrew from bank for office use	2,000
Mar 15	Cash purchases	5,000
Mar 20	Paid rent by cheque	1,500
Mar 25	Received from Dev Rs 3,000 by cheque	3,000

Solution — Three-Column Cash Book

Date	Particulars	L/F	Disc.	Cash	Bank		Date	Particulars	L/F	Disc.	Cash	Bank
------	-------------	-----	-------	------	------	--	------	-------------	-----	-------	------	------
Mar 1	To Balance b/d			12,000			Mar 1	By Balance b/d				5,000
Mar 3	To Sales			4,000			Mar 5	By Bank	C		3,000
Mar 5	To Cash	C			3,000		Mar 8	By Bank (Ashok's cheque)				5,700
Mar 8	To Ashok		300		5,700		Mar 10	By Gupta		200		3,800
Mar 12	To Bank	C		2,000			Mar 12	By Cash	C			2,000
Mar 25	To Dev				3,000		Mar 15	By Purchases			5,000
							Mar 20	By Rent				1,500
							Mar 31	By Balance c/d			5,000	1,400
	Total		300	18,000	11,700			Total		200	18,000	11,700

Note: Opening bank balance is a credit balance (overdraft), shown on the credit side as "By Balance b/d Rs 5,000."

Chapter-End Exercise

Exercise 1: Prepare a Two-Column Cash Book (Cash and Discount) from the following:

Date	Transaction	Amount (Rs)
2025 Apr 1	Cash in hand	20,000
Apr 4	Received from Suresh Rs 8,000, allowed discount Rs 500	7,500
Apr 7	Paid to Ramesh Rs 6,000, received discount Rs 300	5,700
Apr 10	Cash sales	5,000
Apr 14	Paid wages	2,000
Apr 18	Received from Mahesh Rs 4,000, discount allowed Rs 200	3,800
Apr 22	Paid to Dinesh Rs 3,000, discount received Rs 100	2,900
Apr 25	Purchased goods for cash	7,000
Apr 28	Withdrew cash for personal use	1,500

Solution

Date	Particulars	Disc.	Cash	Date	Particulars	Disc.	Cash
Apr 1	To Balance b/d		20,000	Apr 7	By Ramesh	300	5,700
Apr 4	To Suresh	500	7,500	Apr 14	By Wages		2,000
Apr 10	To Sales		5,000	Apr 22	By Dinesh	100	2,900
Apr 18	To Mahesh	200	3,800	Apr 25	By Purchases		7,000
				Apr 28	By Drawings		1,500
				Apr 30	By Balance c/d		16,200
	Total	700	36,300		Total	400	36,300
May 1	To Balance b/d		16,200

Discount Allowed = Rs 700 (transferred to Discount Allowed A/c) Discount Received = Rs 400 (transferred to Discount Received A/c)

Exercise 2: Prepare a Purchase Book and Sales Book from the following transactions of M/s Rahul Traders:

Purchase transactions (all on credit):

Date	Transaction	Amount (Rs)
May 3	Bought goods from Amit & Co.	10,000
May 8	Bought goods from Suman Traders	15,000
May 12	Purchased furniture from Deepak (on credit)	8,000
May 18	Bought goods from Vikram Stores	12,000
May 25	Cash purchases from Gopal	5,000

Sales transactions (all on credit unless stated):

Date	Transaction	Amount (Rs)
May 5	Sold goods to Kavita	7,000
May 10	Sold goods to Pankaj & Bros.	9,000
May 15	Cash sales	6,000
May 20	Sold goods to Meena Enterprises	11,000
May 28	Sold old computer to Ravi (on credit)	4,000

Solution — Purchase Book

Date	Invoice No.	Supplier	Details	Amount (Rs)
May 3	101	Amit & Co.	Goods purchased	10,000
May 8	102	Suman Traders	Goods purchased	15,000
May 18	103	Vikram Stores	Goods purchased	12,000
			Total	37,000

Note: Furniture purchase (May 12) goes to Journal Proper (not a good the business trades in). Cash purchase (May 25) goes to Cash Book.

Solution — Sales Book

Date	Invoice No.	Customer	Details	Amount (Rs)
May 5	201	Kavita	Goods sold	7,000
May 10	202	Pankaj & Bros.	Goods sold	9,000
May 20	203	Meena Enterprises	Goods sold	11,000
			Total	27,000

Note: Cash sales (May 15) goes to Cash Book. Sale of old computer (May 28) is an asset sale, goes to Journal Proper.

Exercise 3: Enter the following transactions in an Analytical Petty Cash Book under the Imprest System (Imprest amount Rs 5,000):

Date	Transaction	Amount (Rs)
2025 Jun 2	Postage stamps	80
Jun 4	Bus fare	40
Jun 6	Stationery	150
Jun 9	Cartage	100
Jun 12	Telegram charges	60
Jun 15	Conveyance	70
Jun 18	Postage	50
Jun 20	Stationery	90
Jun 23	Bus fare	35
Jun 26	Cartage	75
Jun 29	Courier charges	110
Jun 30	Stationery	65

Solution — Analytical Petty Cash Book

Date	Particulars	Total (Rs)	Postage	Stationery	Conveyance	Cartage	Misc.
Jun 1	To Cash (Imprest)	5,000
Jun 2	By Postage	80	80
Jun 4	By Bus fare	40			40
Jun 6	By Stationery	150		150
Jun 9	By Cartage	100				100
Jun 12	By Telegram	60					60
Jun 15	By Conveyance	70			70
Jun 18	By Postage	50	50
Jun 20	By Stationery	90		90
Jun 23	By Bus fare	35			35
Jun 26	By Cartage	75				75
Jun 29	By Courier	110					110
Jun 30	By Stationery	65		65
	Total	925	130	305	145	175	170
Jun 30	By Balance c/d	4,075
Jul 1	To Balance b/d	4,075
Jul 1	To Cash (Reimbursement)	925

Reimbursement = Rs 925 (exact amount spent), restoring the imprest amount of Rs 5,000.

Related Resources

[Chapter 4 Guide — Recording of Transactions II](/school/cbse/class/11/accountancy/cbse-recording-transactions-2)
[All Class 11 Accountancy Solutions](/school/cbse/class/11/accountancy/solutions)
[Class 11 Accountancy Subject Guide](/school/cbse/class/11/accountancy)

Frequently Asked Questions

This page provides complete NCERT solutions for CBSE Class 11 Accountancy Chapter 4 — Recording of Transactions II, with cash book and subsidiary book problems fully worked out.