Question

Prahalad commenced business with cash ₹2,40,000​

Answer 1

Answer:

journal entry is:

capital a/c Dr 240000

To cash a/c. 240000

(commenced business with cash)

Answer 2

Answer:

The journal is:

The journal is:Cash account….Dr…..240,000

The journal is:Cash account….Dr…..240,000Capital account….Cr….240,000

The journal is:Cash account….Dr…..240,000Capital account….Cr….240,000Explanation: He brought cash to start a business and as a result cash increased. Increase of cash is debit account. On the other hand this cash will be treated as the starting capital of the business as he brought the cash to commece his business. So capital increased and increase of capital is credit.