Question

How will I journalise the following entry:-

Drew Cash from bank for office...Rs. 1,000.

why won't we debit drawings account but rather debit cash account?

Answer 1

Answer:yes

Explanation:

Because, if you withdrew money from office then your correct. But your drawing money from your bank account which does not belong to your office.

So entries for personal bank drawings:

Cash account

To bank account

Entry for drawings from office:

Withdrawals account

To Cash/bank account

Answer 2

Answer:    Cash A/C    Dr    1000

                        To Bank A/C

Explanation: Drawings A/c is debited when it is a personal drawing but here in this case cash is drawn for office use, so, we debit cash A/c instead of Drawings A/c. Since journals are generally made from business point of view so we consider personal takings as drawings.