Question

August 01: Introduced cash as capital Rs.1,48,000.
August 01: Purchased furniture for cash Rs.30000.
Q 1:How to do this entry in Journal:Prime entry?
Q 2:Is it a simple entry or a compound entry as both transactions are occuring on the same date??

Answer 1

Answer:

answer 1:

cash a/c Dr.

To capital a/c

furniture a/c Dr.

To cash a/c

answer 2:

you can do in both way either compound or simple