Question - 40

Pass necessary journal entires for the following transaction in the books of Rajan Ltd..

Rajan Ltd. purchased a running business from Vikas Ltd. for a sum of Rs. 2,50,000 payable as Rs. 2,20,000 in fully paid equity shares of Rs. 10 each and balance by a bank draft the assets and liabilities consisted of the following : plant and machinery Rs. 90,000; Sundry debtors Rs. 30,000; Stock Rs. 50,000; Cash Rs. 20,000; sundry creditors Rs. 20,000.

NOTE : Please purchase the book for looking question.