Commercial StudiesICSE Class 9 · Journal

Journalising Simple Transactions with Numerical Practice (ICSE Class 9 Commercial Studies)

Updated 18 October 2026 · Fact-checked

Every simple transaction is journalised by finding the two accounts, classifying them, applying the debit and credit rule and writing the entry with a narration. Standard patterns: cash and capital, purchases and sales for cash or credit, expenses, receipts from debtors, payments to creditors, bank deposits and withdrawals, and drawings of cash or goods.

Understand Journalising Simple Transactions with Numerical Practice

Standard entries (one debit and one credit, equal amounts).

Started business with cash: Cash A/c Dr; To Capital A/c.
Deposited cash into bank: Bank A/c Dr; To Cash A/c. Withdrew cash from bank for office use: Cash A/c Dr; To Bank A/c.
Purchased goods for cash: Purchases A/c Dr; To Cash A/c. On credit from X: Purchases A/c Dr; To X A/c.
Sold goods for cash: Cash A/c Dr; To Sales A/c. On credit to Y: Y A/c Dr; To Sales A/c.
Bought an asset for cash: Asset A/c Dr; To Cash A/c.
Received cash from debtor Y: Cash A/c Dr; To Y A/c. Paid creditor X by cheque: X A/c Dr; To Bank A/c.
Paid an expense (rent, wages, salaries): Expense A/c Dr; To Cash A/c.
Received an income (commission, interest): Cash A/c Dr; To Income A/c.
Owner withdrew cash: Drawings A/c Dr; To Cash A/c. Owner took goods: Drawings A/c Dr; To Purchases A/c.

Payment by cheque uses Bank A/c in place of Cash A/c.

Writing style. Date; debit account with Dr; To and the credit account on the next line, indented; narration in brackets beginning with Being.

Running example: Radhika Stores, January. (Assumed figures used on this page and the next pages of this subject.)
Jan 1 Started business with cash 1,50,000. Jan 3 Deposited cash into bank 60,000. Jan 5 Purchased goods for cash 25,000. Jan 8 Purchased goods on credit from Anil 40,000. Jan 12 Sold goods for cash 30,000. Jan 15 Sold goods on credit to Bela 20,000. Jan 18 Paid rent in cash 5,000. Jan 20 Received cash from Bela 20,000. Jan 25 Paid Anil by cheque 40,000. Jan 28 The owner withdrew cash for personal use 6,000.

Check. The total of the debit column must equal the total of the credit column; each entry has equal debit and credit amounts.

Not in Class IX: compound entries, cash discount, bad debts, and opening and closing entries.

Neighbouring topics: the journal format, classification of accounts and rules are on the previous page of this chapter.

Journalising Simple Transactions with Numerical Practice: key facts

Cash and credit: Cash purchase: Purchases Dr, Cash Cr | credit purchase: Purchases Dr, supplier Cr; Credit sale: customer Dr, Sales Cr.
Owner's withdrawals: Cash: Drawings Dr, Cash Cr | goods: Drawings Dr, Purchases Cr; Drawings reduce capital.
Debtors and creditors: Receipt from debtor: Cash Dr, debtor Cr | payment to creditor: creditor Dr, Cash or Bank Cr; Personal account rule.

Journalising Simple Transactions with Numerical Practice in real life

The idea, met in an everyday situation. Answer the question in your own words, then compare with the model answer. The one-line hook is what to remember.

A day at a shop

Suppose on a Monday a shopkeeper buys goods on credit from Anil for Rs 40,000 and sells goods for cash for Rs 30,000.

Which accounts are debited and credited in each?

Try it first, then show the solutionSolution

Credit purchase: Purchases A/c Dr (goods come in); Anil A/c Cr (the giver).
Cash sale: Cash A/c Dr (comes in); Sales A/c Cr (goods go out).

Answer: Purchases Dr 40,000, To Anil 40,000; Cash Dr 30,000, To Sales 30,000.

Memory hook: Goods in debit, goods out credit.

Tricks to remember Journalising Simple Transactions with Numerical Practice

Short memory aids. Say each one aloud once, then use it on a question the same day.

Credit transactions use persons
A credit purchase or sale uses the supplier's or customer's account, not cash.
Use it when: Credit entries.
Cash comes, Cash Dr
Whenever cash is received the Cash A/c is debited.
Use it when: Cash.
Owner takes, Drawings Dr
Drawings are debited whether cash or goods are taken.
Use it when: Drawings.

Journalising Simple Transactions with Numerical Practice: solved examples

Ordered from board level to HOTS. Try each one before you open the solution.

Example 1: Credit purchase · 1 mark · MCQBoard level

Goods are purchased on credit from Anil. Which account is credited?
(a) Purchases A/c (b) Cash A/c (c) Anil A/c (d) Sales A/c

Try it first, then show the solutionSolution

Anil is the giver of the goods and is a personal account.

Answer: (c) Anil A/c

Example 2: Entries 1 to 4 · 4 marks · Long answerHarder board level

Journalise the first four transactions of Radhika Stores: Jan 1 started business with cash Rs 1,50,000; Jan 3 deposited cash Rs 60,000 into bank; Jan 5 purchased goods for cash Rs 25,000; Jan 8 purchased goods on credit from Anil Rs 40,000.

Try it first, then show the solutionSolution

Jan 1: Cash A/c Dr 1,50,000; To Capital A/c 1,50,000 (Being business started with cash). (1 mark)
Jan 3: Bank A/c Dr 60,000; To Cash A/c 60,000 (Being cash deposited into bank). (1 mark)
Jan 5: Purchases A/c Dr 25,000; To Cash A/c 25,000 (Being goods purchased for cash). (1 mark)
Jan 8: Purchases A/c Dr 40,000; To Anil A/c 40,000 (Being goods purchased on credit from Anil). (1 mark)

Answer: Cash Dr 1,50,000 To Capital; Bank Dr 60,000 To Cash; Purchases Dr 25,000 To Cash; Purchases Dr 40,000 To Anil.

Example 3: Entries 5 to 8 · 4 marks · Long answerHarder board level

Journalise: Jan 12 sold goods for cash Rs 30,000; Jan 15 sold goods on credit to Bela Rs 20,000; Jan 18 paid rent in cash Rs 5,000; Jan 20 received Rs 20,000 in cash from Bela.

Try it first, then show the solutionSolution

Jan 12: Cash A/c Dr 30,000; To Sales A/c 30,000 (Being goods sold for cash). (1 mark)
Jan 15: Bela A/c Dr 20,000; To Sales A/c 20,000 (Being goods sold on credit to Bela). (1 mark)
Jan 18: Rent A/c Dr 5,000; To Cash A/c 5,000 (Being rent paid). (1 mark)
Jan 20: Cash A/c Dr 20,000; To Bela A/c 20,000 (Being cash received from Bela). (1 mark)

Answer: Cash Dr 30,000 To Sales; Bela Dr 20,000 To Sales; Rent Dr 5,000 To Cash; Cash Dr 20,000 To Bela.

Example 4: Case study: entries 9 and 10 and the check · 4 marks · Case-basedHOTS / competency

For Radhika Stores: Jan 25 Anil is paid Rs 40,000 by cheque; Jan 28 the owner withdraws Rs 6,000 in cash for personal use.
(i) Journalise both. (2)
(ii) Find the total of the debit amounts of all ten entries of the month and compare with the credit total. (2)

Try it first, then show the solutionSolution

(i) Anil A/c Dr 40,000; To Bank A/c 40,000 (Being Anil paid by cheque). Drawings A/c Dr 6,000; To Cash A/c 6,000 (Being cash withdrawn for personal use).
(ii) Amounts: 1,50,000 + 60,000 + 25,000 + 40,000 + 30,000 + 20,000 + 5,000 + 20,000 + 40,000 + 6,000 = Rs 3,96,000. The credit total is also Rs 3,96,000 because every entry has equal debit and credit.

Answer: (i) Anil Dr 40,000 To Bank; Drawings Dr 6,000 To Cash (ii) Rs 3,96,000 on each side

Example 5: Read the entry · 3 marks · Short answerHarder board level

Describe the transaction in words: (i) Rent A/c Dr 4,000, To Cash A/c 4,000; (ii) Machinery A/c Dr 50,000, To Bank A/c 50,000; (iii) Ravi A/c Dr 9,000, To Sales A/c 9,000; (iv) Bank A/c Dr 30,000, To Capital A/c 30,000.

Try it first, then show the solutionSolution

(i) Rent of Rs 4,000 paid in cash. (ii) Machinery of Rs 50,000 bought by cheque. (1 mark)
(iii) Goods of Rs 9,000 sold on credit to Ravi. (1 mark)
(iv) The owner introduced Rs 30,000 as capital through the bank. (1 mark)

Answer: (i) rent paid (ii) machinery bought by cheque (iii) credit sale to Ravi (iv) capital introduced into bank

Where students lose marks in Journalising Simple Transactions with Numerical Practice

The slips examiners see most often, and what to write instead.

Mistake: Using cash for a credit transaction
No cash changes hands.
Wrong working
Purchases A/c Dr; To Cash A/c for a credit purchase
Right working
Purchases A/c Dr; To Anil A/c
Do this: Credit means a person owes or is owed.
Usually costs: 2 marks
Mistake: Crediting Drawings for goods taken
Drawings are mistaken for stock.
Wrong working
Purchases A/c Dr; To Drawings A/c
Right working
Drawings A/c Dr; To Purchases A/c
Do this: Drawings are debited.
Usually costs: 2 marks
Mistake: Using Cash instead of Bank
A cheque payment goes through the bank.
Wrong working
Rent A/c Dr; To Cash A/c for a cheque payment
Right working
Rent A/c Dr; To Bank A/c
Do this: Cheque means Bank A/c.
Usually costs: 1 mark

Exam tips

Write the date, Dr, To, amount and narration for every entry.
Decide first whether the transaction is cash or credit.
Total the debit and credit columns of the whole journal.
Use the same names of accounts in all entries and in the ledger later.

Practice questions on Journalising Simple Transactions with Numerical Practice

Write each answer on paper first. Open the hint only if you are stuck, and the answer only when you have finished.

Q1 · 1 mark · MCQBoard level
The owner takes goods for personal use. Which account is credited?
(a) Drawings A/c (b) Sales A/c (c) Purchases A/c (d) Capital A/c
Hint
Goods go out of the stock for resale.
Answer
(c) Purchases A/c
Q2 · 2 marks · Very short answerBoard level
Journalise: (a) Started business with cash Rs 80,000; (b) Paid salaries Rs 7,000 in cash.
Hint
Two simple entries.
Answer
(a) Cash A/c Dr 80,000; To Capital A/c 80,000 (Being business started with cash). (b) Salaries A/c Dr 7,000; To Cash A/c 7,000 (Being salaries paid).
Q3 · 3 marks · Short answerHarder board level
Journalise: (a) bought furniture by cheque Rs 18,000; (b) sold goods on credit to Dev Rs 14,500; (c) received commission Rs 1,200 in cash.
Hint
Asset, credit sale, income.
Answer
(a) Furniture A/c Dr 18,000; To Bank A/c 18,000 (Being furniture bought by cheque). (b) Dev A/c Dr 14,500; To Sales A/c 14,500 (Being goods sold on credit to Dev). (c) Cash A/c Dr 1,200; To Commission Received A/c 1,200 (Being commission received).
Q4 · 3 marks · Short answerHarder board level
Journalise: (a) paid salaries by cheque Rs 9,000; (b) withdrew Rs 7,500 from the bank for office use; (c) the owner took goods worth Rs 2,500 for personal use.
Hint
Bank replaces cash.
Answer
(a) Salaries A/c Dr 9,000; To Bank A/c 9,000 (Being salaries paid by cheque). (b) Cash A/c Dr 7,500; To Bank A/c 7,500 (Being cash withdrawn from bank). (c) Drawings A/c Dr 2,500; To Purchases A/c 2,500 (Being goods taken for personal use).
Q5 · 3 marks · Short answerHOTS / competency
A student journalises "Paid Anil Rs 15,000 by cheque" as Cash A/c Dr 15,000; To Anil A/c 15,000. Find the errors and give the correct entry.
Hint
Who is paid and by what means?
Answer
Anil is paid, so Anil A/c is debited (the receiver), and payment is by cheque, so Bank A/c is credited, not Cash. Correct entry: Anil A/c Dr 15,000; To Bank A/c 15,000 (Being Anil paid by cheque).

Test your recall

Answer in your head or on paper first, then open the card. Pulling an answer out of memory makes it stick far better than re-reading.

1.Entry for starting business with cash?Show answer
Cash A/c Dr; To Capital A/c.
2.Entry for paying rent in cash?Show answer
Rent A/c Dr; To Cash A/c.
3.Entry for a credit sale to Y?Show answer
Y A/c Dr; To Sales A/c.
4.Entry for cash received from a debtor?Show answer
Cash A/c Dr; To debtor's A/c.
5.Entry for owner withdrawing cash?Show answer
Drawings A/c Dr; To Cash A/c.
6.What replaces Cash A/c for a cheque?Show answer
Bank A/c.

Journalising Simple Transactions with Numerical Practice: frequently asked questions

Do I need to learn compound entries?

No. Compound entries are not in the Class IX syllabus.

Do I journalise trade discount?

No. It is deducted on the invoice and the net amount is recorded.

Where do Radhika Stores figures come from?

They are assumed figures made for practice.