SOP 1: Computerized Accounting with GST
Mr. Ravindrakumar started business by the name M/s Bitwise Trading Company in the year 2019.
Company Details
- Company Name: M/s Bitwise Trading Company
- Address: 102 M.G. Road, Bhavan Nagar, Latur – 413512
- State: Maharashtra
- Website: www.bitwisetrading.com
- Email: info@bitwise.com
- Maintain: Accounts with Inventory
- Financial Year From: 01-04-2019
- Books Begin From: 01-04-2019
Given Transactions (chronological)
| Date | Particulars | Amount (Rs) |
|---|---|---|
| 01/04/2019 | Mr. Ravindrakumar started business with cash (Capital) | 5,00,000 |
| 01/04/2019 | Purchased goods from Sharada Steel Works on credit | 5,00,000 |
| 01/04/2019 | Paid salary to staff | 20,000 |
| 01/04/2019 | Cash deposited into Bank of India | 5,000 |
| 01/04/2019 | Sold goods to Rakesh Enterprises on cash | 50,000 |
| 01/04/2019 | Purchased Machinery | 25,500 |
| 01/04/2019 | Received interest on cash deposited in Bank of India | 2,000 |
Solution Steps
Step I Company Creation
- Open the accounting software and choose Create Company → enter company information (name, address, state, financial year starting 01/04/2019) and save the company.
- Set Company Features → Company Features → Accounting Features → Maintain Accounts with Inventory → select Yes.
Step II Creation of Ledgers
Create the ledgers required to record the given transactions via Masters → Account Info → Ledgers → Single Ledger → Create. Assign each ledger to the appropriate group as below.
| Ledger | Under Group |
|---|---|
| Capital A/c | Capital Account |
| Bank of India A/c | Bank Account |
| Salary A/c | Indirect Expenses |
| Purchase A/c | Purchase Accounts |
| Sharada Steel Works A/c | Sundry Creditors |
| Sales A/c | Sales Accounts |
| Machinery A/c | Fixed Asset |
| Interest Received A/c | Indirect Income |
Step III Voucher Entries
Use the predefined voucher types (Receipt, Payment, Contra, Purchase, Sales, Journal) and pass voucher entries from Gateway of Tally → Transactions → Accounting Vouchers. The analysis of transactions and voucher mapping (date, voucher type, particulars, debit amount, credit amount) follows the provided data.
Analysis of Transactions with Voucher Mapping
| Date | Voucher Type (Function Key) |
Particular | Debit Amt. | Credit Amt. |
|---|---|---|---|---|
| 01-Apr-2019 | Receipt F6 |
Cash
A/c...........Dr Capital A/c...........Cr |
5,00,000 |
5,00,000 |
| 01-Apr-2019 | Purchase F9 |
Purchases A/c...........Dr Sharada Steel Works A/c...........Cr |
20,000 |
20,000 |
| 02-May-2019 | Payment F5 |
Salary A/c...........Dr Bank of India A/c...........Cr |
5,000 |
5,000 |
| 01-Jun-2019 | Contra F4 |
Bank of India A/c...........Dr Cash A/c...........Cr |
50,000 |
50,000 |
| 02-Jun-2019 | Sales F8 |
Cash A/c...........Dr Sales A/c...........Cr |
25,500 | 25,500 |
| 03-Jul-2019 | Purchase F9 |
Machinery A/c...........Dr Cash A/c...........Cr |
10,000 |
10,000 |
| 02-Dec-2019 | Receipt F6 |
Bank of India A/c...........Dr Interest Received A/c...........Cr |
2,000 |
2,000 |
Step IV Viewing Reports
- To view Trial Balance: Display → Trial Balance.
- To view Profit & Loss A/c: Reports → Profit & Loss A/c.
- To view Balance Sheet: Reports → Balance Sheet.
- To view Day Book: Display → Day Book → Detailed (Alt+F1).
Notes and Submission
- Ensure all ledgers are correctly grouped before passing vouchers to produce accurate reports.
- Save the company data and export reports (PDF/print) for submission as required.