Question

What will be the journal entry for
cash sales of 70000 of goods costing 50000

Answer 1

Hey mate here is your answer...
____________¥____________
____________¥____________

Cash A/c Dr 70000
To
Sales A/c 50000

Cash will increase because the payment for goods has been received incash, so cash account debited. The sale of goodswill result in the decrease of goods, so goods account willbe credited.

T.S ( ZAYER ).

Answer 2

Journal entry

Cash   A/c   Dr   70000

      To Sales A/c                70000

(being cash sales made)

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Reason :

Sales is the income to the business therefore its credited

Cash comes into the business therefore its debited