Question

Journalize the following?
Rahul started business with cash 100000
Paid into bank 60000
Bought good from m/s singh & co. On credit 20000

Answer 1

Answer:

1) debit cash account by 100000 and credit capital account by 100000

2)Debit bank account by 60000 and credit cash account by 60000

3) Debit purchase account and credit m/s singh & co.account by 20000