The Following Would Be Recording In Journal Using Double Entry System. Do The Posting Process From Journal Entries And Prepare The Trial Balance, Trading A/C, Profit & Loss A/C And Balance Sheet In The Books Of M/S. INFOSYS LTD For The Following Year 2009 To 2010

Title of the Budget: Financial Budget

Period of Budget : 1.4.2009 to 31.3.2010

TRANSACTION DURING THE PERIOD:

1. Paid Telephone Charges Rs.2000

2. Goods Purchased On Credit From M/S.Linga Agencies Was Rs.100000

3. Bank Loan Received Rs.200000

4. Cash Withdraw From Bank Rs.100000

5. Paid Salary By Cheque Rs.10000

6. Provision For Depreciation Rs.15000 Allocate In To P&L A/C

7. Bank O/D Settled Rs.20000

8. Goods Sold To M/S.Jana Was Rs.180000 Bill No:25 25days

9. Paid For Rent: 20000, Stationery: 4000, Wages: 6000

10.Dividend Received Rs.20000

11.Paid Fright Charges Rs.3750 By Cheque

12.Purchased Furniture Rs.60000

13.Paid To M/S.Linga Agencies And Discount Received @ 5%

14.Paid For Salary: 10000, Rent: 30000, Stationery: 1750

15.Paid Advertisement Charges Rs.2500

16.Interest On Bank Balance Rs.10000

17.Depreciation Of Machinery @ 10% This Amount Adjusted To Provisions

18.Bank Loan Settled Rs.50000

19.Bad Debit Written Of M/R.Jana Was Rs.5000

20.Discount Allowed Rs.3000

Answers:

---

Answer

Company Creation

To create a company named M/s Infosys Ltd in Tally ERP 9, follow these steps:

• Open Tally ERP 9 and go to the Gateway of Tally screen.
• Press "Alt + F3" or click on "Create Company" in the toolbar.
• Enter the company name as "M/s Infosys Ltd" in the "Name" field.
• Enter the company's address, email address, and contact details in the respective fields.
• Select the appropriate country, state, and PIN code in the "Country" and "State" fields.
• Set the financial year and the books beginning from date.
• Choose the base currency for the company in the "Currency" field.
• Enable or disable the required features as per your company's requirements.
• Save the company details by pressing "Enter" or clicking on the "Enter" button.
• Once the company is created, Tally ERP 9 will automatically create default ledgers, groups, and vouchers for the company.
• You can also customize the ledgers, groups, and vouchers as per your company's requirements.

By following these steps, you can create a new company named M/s Infosys Ltd in Tally ERP 9 and start using it for your accounting and financial management purposes.

---

Ledger Creation

To create a ledger for Capital Rs. 500000 in Tally ERP 9, follow these steps:

• Open Tally ERP 9 and go to Gateway of Tally screen.
• Click on "Accounts Info" from the menu bar and select "Ledgers".
• Click on "Create" to create a new ledger.
• Enter the name of the ledger as "Capital".
• Under the "Under" field, select the appropriate group. For example, you can select "Capital Account"group.
• Under the "Opening Balance" field, enter the opening balance of Rs. 500000.
• Under the "Currency" field, select the appropriate currency. In this case, it can be INR (Indian Rupee).
• Enter the other details such as address, contact information, and email address if required.
• Press Enter to save the ledger.

The ledger for Capital Rs. 500000 is now created in Tally ERP 9. You can use this ledger to record transactions related to capital investment or ownership in your business.

---

Budget Creation

To create a budget with the title "Financial Budget" and the period from 1st April 2022 to 31st March 2023 in Tally ERP 9 for indirect and direct expenses, and then create a ledger for a specific expense, follow these steps:

• Go to Gateway of Tally and click on "Accounts Info" from the menu bar.
• Select"Budgets" and then select "Create".
• Enter "Financial Budget" in the "Name of Budget" field.
• In the "Applicable From" field, enter 01-04-2022 (1st April 2022).
• In the "Applicable Till" field, enter 31-03-2023 (31st March 2023).




• Under "Set Budget for", select the option "Group of Ledgers" and select "Indirect Expenses" from the list of groups.
• Enter the budget amount for indirect expenses in the "Amount" field.
• Click on "Accept" to save the budget for indirect expenses.
• Repeat steps 6 to 8 to create a budget for direct expenses by selecting the "Direct Expenses" group.




• To create a ledger for a specific expense, go to "Accounts Info" and select "Ledgers".
• Click on "Create" to create a new ledger.








• Enter the name of the ledger as per the specific expense. For example, "Stationery".
• Under the"Under" field, select the appropriate group. For example, you can select "Indirect Expenses" or "Direct Expenses" group.
• Under the "Opening Balance" field, enter the opening balance of the ledger.
• Under the "Currency" field, select the appropriate currency. In this case, it can be INR (Indian Rupee).
• Enter the other details such as address, contact information, and email address if required.
• Press Enter to save the ledger.
• Now, go back to the budget screen and select the "Group of Ledgers" option again.
• Select the appropriate group for the ledger you just created. For example, if you created a ledger for travel expenses, select the "Indirect Expenses" group.
• Enter the budget amount for the specific ledger in the "Amount" field.
• Click on "Accept" to save the budget for the specific expense.

---

Transaction Entry

1. Paid Telephone Charges Rs.2000

To create a budget for Paid Telephone Charges of Rs. 2000 and make the necessary entries in Tally ERP 9, you would need to follow these steps:

• Open Tally ERP 9 and create a new company or open an existing one.
• Go to the Gateway of Tally and click on the 'Accounts Info' option.
• Select 'Ledgers' and click on 'Create.'
• In the 'Create Ledger' screen, enter the name of the ledger as 'Telephone Charges' and select 'Indirect Expenses' as the group name.
• Once you have entered the required details, save the ledger by pressing 'Enter.'
• Now, go to the 'Accounting Vouchers' section in the Gateway of Tally and select 'Payment Voucher.'
• In the Payment Voucher screen, enter the date of the payment and select 'Cash' as the mode of payment.
• Enter the amount of Rs. 2000 in the 'Amount' field.
• In the 'Debit' section, select 'Telephone Charges' as the ledger and enter the amount of Rs. 2000.
• In the 'Credit' section, select 'Cash' as the ledger and enter the amount of Rs. 2000.
• Once you have entered all the details correctly, save the voucher by pressing 'Enter.'

Your budget for Paid Telephone Charges of Rs. 2000 has been created, and the necessary entries have been made in Tally ERP 9.

---

2. Goods Purchased on Credit From M/s.Linga agencies was Rs. 100000

To create a purchase entry for goods purchased on credit from M/s.Linga agencies for Rs. 100000 and make the necessary entries in Tally ERP 9, you would need to follow these steps:

• Open Tally ERP 9 and create a new company or open an existing one.
• Go to the Gateway of Tally and click on the 'Accounts Info' option.
• Select 'Ledgers' and click on 'Create.'
• In the 'Create Ledger' screen, enter the name of the ledger as 'M/s.Linga agencies' and select 'Sundry Creditors' as the group name.
• Once you have entered the required details, save the ledger by pressing 'Enter.'
• Now, go to the 'Accounting Vouchers' section in the Gateway of Tally and select 'Purchase Voucher.'
• In the Purchase Voucher screen, enter the date of the purchase and select 'M/s.Linga agencies' as the supplier.
• Enter the amount of Rs. 100000 in the 'Total Amount' field.
• In the 'Debit' section, select 'Purchase' as the ledger and enter the amount of Rs. 100000.
• In the 'Credit' section, select 'M/s.Linga agencies' as the ledger and enter the amount of Rs. 100000.
• Once you have entered all the details correctly, save the voucher by pressing 'Enter.'

Your entry for Goods Purchased on Credit From M/s.Linga agencies for Rs. 100000 has been created, and the necessary entries have been made in Tally ERP 9.

---

3. Bank Loan Received Rs. 200000

To create an entry for Bank Loan Received of Rs. 200000 and make the necessary entries in Tally ERP 9, you would need to follow these steps:

• Open Tally ERP 9 and create a new company or open an existing one.
• Go to the Gateway of Tally and click on the 'Accounts Info' option.
• Select 'Ledgers' and click on 'Create.'
• In the 'Create Ledger' screen, enter the name of the ledger as 'Bank Loan' and select 'Loan Liabilities' as the group name.
• Once you have entered the required details, save the ledger by pressing 'Enter.'
• Now, go to the 'Accounting Vouchers' section in the Gateway of Tally and select Receipt Voucher.'
• In the Receipt Voucher screen, enter the date of the loan received and select 'Cash' as the mode of receipt.
• Enter the amount of Rs. 200000 in the 'Amount' field.
• In the 'Debit' section, select 'Cash' as the ledger and enter the amount of Rs. 200000.
• In the 'Credit' section, select 'Bank Loan' as the ledger and enter the amount of Rs. 200000.
• Once you have entered all the details correctly, save the voucher by pressing 'Enter.'

Your entry for Bank Loan Received of Rs. 200000 has been created, and the necessary entries have been made in Tally ERP 9.

---

4.Cash Withdraw From Bank Rs.100000

Here are the steps to create the cash withdrawal entry in Tally ERP9:

• Open Tally ERP9 and go to the Gateway of Tally.
• Select Accounting Vouchers from the list of options.
• Choose the F4 key on your keyboard to create a Contra Voucher.
• Select the bank account from which you want to withdraw the cash from. In this case, it would be Axis Bank, so select the Axis Bank account.
• Enter the amount of Rs. 100,000 in the Debit field. This represents the amount of cash you are withdrawing from the bank.
• Select the Cash account in the Credit field. This represents the account that the cash will be credited to.
• Press Enter and then select Yes when asked "Accept the screen".
• Your cash withdrawal entry is now complete. You can save it by pressing Ctrl+A or by clicking on the Save button.

Note: It's important to make sure that you have sufficient funds in your bank account before withdrawing cash. Also, ensure that the amount of the cash withdrawal entry matches the amount that you have actually withdrawn from the bank.

---

6. Provision For Depreciation Rs.15000 Allocate In To P&L A/C

Here are the steps to create the provision for depreciation entry in Tally ERP9:

• Open Tally ERP9 and go to the Gateway of Tally.
• Select Accounting Vouchers from the list of options.
• Choose the F7 key on your keyboard to create a Journal Voucher.
• In the Debit field, select the Profit & Loss A/C. This represents the account where you want to allocate the provision for depreciation.
• Enter the amount of Rs. 15,000 in the Debit field. This represents the amount of depreciation that you want to allocate.
• In the Credit field, select the Provision For Depreciation account. This represents the account from which you want to allocate the depreciation.
• Press Enter and then select Yes when asked "Accept the screen".
• Your provision for depreciation entry is now complete. You can save it by pressing Ctrl+A or by clicking on the Save button.

Note:It's important to make sure that the amount of depreciation allocated matches the amount that has been calculated and approved by the company's management. Also, ensure that the appropriate depreciation rate and method have been used in calculating the amount of depreciation to be allocated.

---

8.Goods Sold To M/S.Jana Was Rs.180000 Bill No:25 25days

Here are the steps to create the sales entry in Tally ERP9 for goods sold to M/S.Jana for Rs. 180,000 with Bill No: 25 and a credit period of 25 days:

• Open Tally ERP9 and go to the Gateway of Tally.
• Select Accounting Vouchers from the list of options.
• Choose the F8 key on your keyboard to create a Sales Voucher.
• Select M/S.Jana in the Party A/c Name field. This represents the customer to whom you have sold the goods.
• Enter the amount of Rs. 180,000 in the Sales field. This represents the total amount of the goods sold to M/S.Jana.
• In the Bill-wise Details section, enter the Bill No. as 25 and the credit period as 25 days.
• Press Enter and then select Yes when asked "Accept the screen".
• Your sales entry is now complete. You can save it by pressing Ctrl+A or by clicking on the Save button.

Note:SIt's important to make sure that the details entered in the sales entry are accurate and match the information on the sales invoice. Also, ensure that the appropriate tax rates have been applied to the sales amount, if applicable.

---

Profit and Loss

Tally.ERP 9 is a popular accounting software used by businesses for managing their financial transactions. Profit and loss in Tally ERP 9 is calculated based on the transactions recorded in the software.

To calculate profit and loss in Tally ERP 9, follow these steps:

• Record all your business transactions in Tally ERP 9, including sales, purchases, expenses, and incomes.
• Once you have recorded all the transactions, go to the ‘Display’ menu and select ‘Profit & Loss A/c’ to view the profit and loss statement.
• The profit and loss statement will show the revenue earned by the business and the expenses incurred during a specific period. The difference between revenue and expenses will give you the net profit or loss for that period.
• You can also view the profit and loss statement for a specific period, such as a month or a year, by selecting the relevant period in the software.
• Tally ERP 9 also allows you to customize the profit and loss statement by adding or removing specific accounts, depending on your business requirements.

Overall, Tally ERP 9 makes it easy to calculate and manage profit and loss statements, helping businesses make informed financial decisions.

Balance Sheet

A balance sheet is a financial statement that provides an overview of a company's financial position at a particular point in time. In Tally ERP 9, a balance sheet can be generated using the following steps:

• Record all your business transactions in Tally ERP 9, including sales, purchases, expenses, and incomes.
• Once you have recorded all the transactions, go to the ‘Display’ menu and select ‘Balance Sheet’ to view the balance sheet.
• The balance sheet will show the company's assets, liabilities, and equity. Assets are the resources owned by the company, such as cash, inventory, and property. Liabilities are the obligations owed by the company to others, such as loans and accounts payable. Equity represents the residual interest in the assets of the company after deducting liabilities.
• The balance sheet should always balance, meaning that the total assets should equal the total liabilities and equity.
• Tally ERP 9 allows you to customize the balance sheet by adding or removing specific accounts, depending on your business requirements.
• You can also generate a comparative balance sheet for multiple periods, allowing you to track changes in the company's financial position over time.

Overall, Tally ERP 9 makes it easy to generate and manage balance sheets, providing valuable insights into a company's financial health and helping businesses make informed financial decisions.

• Previous
• Next