Question

Propriter sold his own car rs 5000 and invest same in business journal entries

Answer 1

Answer:

Cash A/c   Dr   5000

     To Capital A/c   5000

(Being new capital introduced in business)

Explanation:

Since the proprietor sold his personal car that had no link to business nor was it recorded anywhere in books,thus its sale will have no entry in the book of records.However investing money again into the business will have an impact and only that will be recorded as above.