Question

Sujit first gave rupees 500 to Ajith at 3% per annum and then again rupees 500 at 2% per annum he also gave ₹1000 to Manoj at 5% per annum will Sujit get the same interest from Ajith and Manoj​

Answer 1

Answer:

Journal entry for received interest of Rs. 1,000 from the bank:

Bank A/c ………………… Dr 1000

To Bank Interest A/c 1000

[Being the received interest from the bank]

Bank A/c debit because the bank is (personal Account) and the receiver, receiver also debit based on the Debit and Credit or Golden Rules.

Interest A/c Credit because the interest is (Nominal Account) and one type of Income and Income is also Credit. Based on the Debit and Credit or Golden Rules.

Rules:

Bank A/c - Personal Account - Receiver - Dr

Interest - Nominal Account - Income - Cr

Golden Rules:

Personal Account:

Debit the Receiver, Credit the Giver

Real Account:

What cames in Debit and what Goes out Credit

Nominal Account:

Expenses & Loss Debit, and Income, Profit Credit

I hope this answer helps you.