Question

hyy anyone solve this question

Answer 1

(i) Furniture a/c dr.

to cash a/c

( being a furniture purchased so one asset is increased and in another hand cash (asset) is decreased.

(ii) Purchase a/c dr.

to creditor a/c

(being goods purchased for credit so in one hand asset increases and in another hand the liability decreases aslo)

(iii) Bank a/c dr.

to Equity share capital a/c

(being money recived on share issued, the money recived for share issued is owners capital i.e increased and the money recived into bank account(asset) which is also increased)

(iv) Creditor a/c dr.

to Bank a/c

( being money paid to creditor, so creditor(liability) decreased and also bank(asset) decreased)

(v) Drawings a/c dr.

to Bank a/c

( being cash withdrawn from bank, so here cash at bank and the owners capital both decreases at the same time)