Conclusion of Double entry system
Answers
Answered by
2
If one account is debited another should be credited. If one is gaining something then another is losing.
example. cash paid to Ram 1000
so. Ram account dr. 1000
to cash account. 1000
as Ram account increases with rs 1000 and our cash account decrease with rs 1000.
..... I hope example clarifies it.
example. cash paid to Ram 1000
so. Ram account dr. 1000
to cash account. 1000
as Ram account increases with rs 1000 and our cash account decrease with rs 1000.
..... I hope example clarifies it.
Similar questions