Question

Arijit starting business with cash 500900 journal entries

Answer 1

Answer:

cash a/c Dr

to arijit capital a/c

(being capital introduced by arijit to start business)

Explanation:

cash is asset and when asset increase we Dr it since it has Dr balance

cash is asset and when asset increase we Dr it since it has Dr balanceand capital is liability, liability has cr balance to increase we will cr it

cash is asset and when asset increase we Dr it since it has Dr balanceand capital is liability, liability has cr balance to increase we will cr itif we want to reduce them do opposite