Question

from the given transactions write the name of accounts involved and also which account is to be debited or credited​

Answer 1

Explanation:

Started business with cash Rs. 20,000

Accounts involved -

• Cash A/c : To be debited
• Capital A/c : To be credited

Machinery purchased Rs. 5,000

Accounts involved -

• Machinery A/c : To be debited
• Cash A/c : To be credited

Purchased goods for cash Rs. 3,000

Accounts involved -

• Purchase A/c : To be debited
• Cash A/c : To be credited

Received commission Rs. 1,000

Accounts involved -

• Cash A/c : To be debited
• Commission A/c : To be credited

Opened a bank account Rs. 3,000

Accounts involved -

• Bank A/c : To be debited
• Cash A/c : To be credited

Purchased goods and paid by cheque Rs. 5,000

Accounts involved -

• Purchase A/c : To be debited
• Bank A/c : To be credited

Salary paid by cheque Rs. 1,000

Accounts involved -

• Salary A/c : To be debited
• Bank A/c : To be credited

Sold goods for cash Rs. 2,000

Accounts involved -

• Cash A/c : To be debited
• Sales A/c : To be credited

Sold goods to Biju Rs. 5,000

Accounts involved -

• Biju's A/c : To be debited
• Sales A/c : To be credited