Deposit in to bank 4000
Answers
Explanation:
golden principles of accounting .
personal account rule
dr- the receiver.
cr- the giver.
real account rule
dr- what comes in.
cr- what goes out.
nominal account rule.
dr- all expenses and losses.
cr- all incomes and gains.
the journal entry will be....
bank a/c dr 4000
to cash a/c 4000
( being cash deposited in the bank).
here bank a/c is debited because it received the cash.refer personal account rule.
here cash a/c is credited because it is going out of the business. refer real a/c rule
Answer
Let us recall the rules of journal
Golden Rules of Journal
Personal account rule
Debit- The receiver.
Credit- The giver.
Real account rule
Debit- What comes in.
Credit- What goes out.
Nominal account rule
Debit- All expenses and losses.
Credit- All incomes and gains.
Now
The journal entry will be
Bank A/C DR ₹ 4000
To Cash A/C ₹ 4000
( Being Cash deposited in the bank ₹ 4000 )