Accountancy, asked by Ritu1p, 1 year ago

What are Contra Entries??

Answers

Answered by aditya7227
2
contra transaction involve transfer of cash to one cash to another bank
Answered by MiSSiLLuSioN
13
hola dear!!!☺️

⏬ANSWER⏬

▶️Contra Entry according to me is,

❇️If a transaction requires entries on both the debit and the credit sides simultaneously, it is called "Contra Entry".

✳️Usually contra entries will appear in the following occasions:

✴️a. When an account is opened with a bank.
✴️b. The firm's cash is deposited in the bank.
✴️c. The cash is withdrawn from bank for office use.
✴️d. The cheques received from debtors, are deposited in the bank.

✳️In transactions 'a and b', the cash balance available with the firm is decreased, the cash in bank is increased. In transaction 'c', the cash in the bank is decreased and the cash in the firm is increased.

✔️hope it helps!!!✔️
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