Question

Illustration 4.
On which side will the increase in following accounts be recorded? Also, mention the
nature of the account on the basis of Modern Classification of Accounts:
(1) Buildings A/C
(ii) Creditor's Alc
(iii) Abhishek (Proprietor)
(iv) Purchases Alc
(v) Carriage Inwards Alc
(vi) Cash Ac
vi) Rent Received A/c (viii) Interest Payable A/C (ix) Bills Payable Alc
(1) Debtors Alc
(xi) Accrued Commission A/c (xii) Bills Receivable Alc​

Answer 1

Answer:

Nature of account. side

increase

1. building. Assets. debit

2. Creditors. liability. credit

3. Abhishek. capital. credit

4. purchase. Expense. debit

5. carriage inward expense. debit

6. cash. Assets. debit

7. Rent received. Income. credit

8. Interest payable liability. credit

9. Bills payable. Liability. credit

10 Debtors. Assets. debit

11. Accured commission assets. debit

12 Bills receivable. Assets. debit