Question

gopal starts business with cash 20000 and a building worth 60000 journal entry​

Answer 1

Explanation:

cash a/c Dr. 20000

building a/c dr.60000

to capital a/c. 80000

Answer 2

Answer:

Cash A/c    Dr  20000

Building A/c  Dr  60000

      To Capital A/c     80000

Explanation:

Whenever Cash is introduced in business for the first time it is Dr as cash and Cr into capital. In this case building is also present at the time of starting the business and thus this account is also Dr and the amount is Cr in capital.