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C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills?
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C draws a bill on mutual accommodation basis for Rs. 200,000 for a ter...
Calculation:
Given:
First Bill:
- Principal amount (P₁) = Rs. 200,000
- Rate of discount (r) = 15%
- Proceeds received by D (A₁) = Rs. 66,500
Second Bill:
- Principal amount (P₂) = Rs. 250,000
- Rate of discount (r) = 15%
- Proceeds received by C (A₂) = Rs. 30,000
The bill drawn by D on C is a new transaction and should be considered separately. Hence, the calculations for the first and second bills will be done individually.
Calculation for the First Bill:
Step 1: Calculate the discounted value of the first bill using the formula:
Discounted Value (D₁) = P₁ - (P₁ * r * t)
Where:
- P₁ = Principal amount of the bill
- r = Rate of discount
- t = Term of the bill in years
D₁ = 200,000 - (200,000 * 0.15 * (3/12))
D₁ = 200,000 - 7,500
D₁ = 192,500
Step 2: Calculate the amount to be remitted to C on the due date of the first bill using the formula:
Remittance Amount (R₁) = A₁ - D₁
Where:
- A₁ = Proceeds received by D
R₁ = 66,500 - 192,500
R₁ = -126,000
Since the value of R₁ is negative, it means that C needs to remit Rs. 126,000 to D on the due date of the first bill.
Calculation for the Second Bill:
Step 1: Calculate the discounted value of the second bill using the same formula as before:
D₂ = 250,000 - (250,000 * 0.15 * (3/12))
D₂ = 250,000 - 9,375
D₂ = 240,625
Step 2: Calculate the amount to be remitted to C on the due date of the second bill:
R₂ = A₂ - D₂
R₂ = 30,000 - 240,625
R₂ = -210,625
Again, the value of R₂ is negative, indicating that C needs to remit Rs. 210,625 to D on the due date of the second bill.
Total Share of Discount Charges:
The total share of discount charges to be borne by C and D can be calculated by summing up the discounts on both bills.
Total Discount Charges = (P₁ * r * t) + (P₂ * r * t)
Total Discount Charges = (200,000 * 0.15 * (3/12)) + (250,000 * 0.15 * (3/12))
Total Discount Charges = 7,500 + 9,375
Total Discount Charges = 16,875
C's Share = (D₁ / (D₁ + D₂)) * Total Discount Charges
C's Share = (192,500 / (192,500 + 240,625)) * 16,875
C's Share = (192,500 / 433,125) * 16,875
C
Given:
First Bill:
- Principal amount (P₁) = Rs. 200,000
- Rate of discount (r) = 15%
- Proceeds received by D (A₁) = Rs. 66,500
Second Bill:
- Principal amount (P₂) = Rs. 250,000
- Rate of discount (r) = 15%
- Proceeds received by C (A₂) = Rs. 30,000
The bill drawn by D on C is a new transaction and should be considered separately. Hence, the calculations for the first and second bills will be done individually.
Calculation for the First Bill:
Step 1: Calculate the discounted value of the first bill using the formula:
Discounted Value (D₁) = P₁ - (P₁ * r * t)
Where:
- P₁ = Principal amount of the bill
- r = Rate of discount
- t = Term of the bill in years
D₁ = 200,000 - (200,000 * 0.15 * (3/12))
D₁ = 200,000 - 7,500
D₁ = 192,500
Step 2: Calculate the amount to be remitted to C on the due date of the first bill using the formula:
Remittance Amount (R₁) = A₁ - D₁
Where:
- A₁ = Proceeds received by D
R₁ = 66,500 - 192,500
R₁ = -126,000
Since the value of R₁ is negative, it means that C needs to remit Rs. 126,000 to D on the due date of the first bill.
Calculation for the Second Bill:
Step 1: Calculate the discounted value of the second bill using the same formula as before:
D₂ = 250,000 - (250,000 * 0.15 * (3/12))
D₂ = 250,000 - 9,375
D₂ = 240,625
Step 2: Calculate the amount to be remitted to C on the due date of the second bill:
R₂ = A₂ - D₂
R₂ = 30,000 - 240,625
R₂ = -210,625
Again, the value of R₂ is negative, indicating that C needs to remit Rs. 210,625 to D on the due date of the second bill.
Total Share of Discount Charges:
The total share of discount charges to be borne by C and D can be calculated by summing up the discounts on both bills.
Total Discount Charges = (P₁ * r * t) + (P₂ * r * t)
Total Discount Charges = (200,000 * 0.15 * (3/12)) + (250,000 * 0.15 * (3/12))
Total Discount Charges = 7,500 + 9,375
Total Discount Charges = 16,875
C's Share = (D₁ / (D₁ + D₂)) * Total Discount Charges
C's Share = (192,500 / (192,500 + 240,625)) * 16,875
C's Share = (192,500 / 433,125) * 16,875
C
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C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills?
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C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills?.
C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills?.
Solutions for C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? in English & in Hindi are available as part of our courses for CA Foundation.
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Here you can find the meaning of C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? defined & explained in the simplest way possible. Besides giving the explanation of
C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills?, a detailed solution for C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? has been provided alongside types of C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? theory, EduRev gives you an
ample number of questions to practice C draws a bill on mutual accommodation basis for Rs. 200,000 for a term of 3 months. C discounted it at 15% out of the proceeds Rs. 66,500 was remitted to D. On the due date C did not meet his commitment so D draw a bill on C for Rs. 250,000. D discounted the bill at 15% for 3 months. Out of the proceeds Rs. 30,000 was remitted to C. (A) what is the amount to be remitted D to C on due date of 2nd bill? (B) what is the total share of discount charges to be borne by C and D for both the bills? tests, examples and also practice CA Foundation tests.
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