Accountancy, asked by goyalsanket4, 7 months ago

0.14. Name the side on which decrease in capital is recorded.​

Answers

Answered by sweety9379
1

Answer:

When the transaction has the effect of decreasing a liability, the decrease will be recorded in the debit side because the balance of all the liabilities are credit. e.g. when capital is decreased because of the withdrawal by the proprietor, Drawing accounts is debited.

Explanation:

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