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Acceptance

On 1st July, 2014, G drew a bill for ~ 80,000 for 3 months on H for mutual accommodation. He accepted the bill of exchange. G had purchased goods worth ~ 81,000 from J on the same date. G endorsed H’s acceptance to J in full settlement. On 1st September, 2014, J purchased goods worth ~ 90,000 from H. J endorsed the bill of exchange received from G to H  and paid ~ 9,000 in full settlement of the amount due to H.

On 1st October, 2014, H purchased goods worth ~ 1,00,000 from G. He paid the amount due to G by cheque. Give the necessary journal entries in the books of H.

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