Question

paid to ms singh & co on account 17500
make a journal entry​(give answer like u are writing in exam otherwise report)​

Answer 1

Answer:

M/s.Singh a/c Dr.

To bank a/c

(being paid to M/s.Singh on account)

Note:

• It is said as on account so we are crediting bank a/c
• If it is said as cash we will credit Cash a/c.

The journal entry for this is....m/s.singh account will be debited by 17500 since he is the one receiving the money while the bank account will be credited by 17500 since it is giving out the cash. The technique of recording in both account is very necessary and it is known to as us double entry system..... the accountant should be keen to avoid the error of commission.