Question

started business with cash​

Answer 1

Answer:

Cash A/c needs to be Debited and Capital Account needs to be credited. As Business has received Cash which is an Asset for the Organisation and it needs to Credit the Capital Account as it the liability for business to return the amount invested by the promoter. Cash Account - Dr. Capital Account - Cr

Answer 2

Answer:

• Cash A/c needs to be Debited and Capital Account needs to be credited. As Business has received Cash which is an Asset for the Organisation and it needs to Credit the Capital Account as it the liability for business to return the amount invested by the promoter. Cash Account - Dr. Capital Account - Cr.