I. Journalise the following Transactions – Chapter 4 (Book Examples) Jan 1, 2004 – Saravanan started the business with Rs. 1,00,000. Jan 3, 2004 – Received cash from Balan Rs. 25,000 Feb...
There are always two aspects of a Business Transaction. Examples: Purchase of Machinery for Rs 50,000. The two aspects in this transaction are: Incoming of Machinery Outflow of...
Personal account: Debit the receiver and credit the giverReal account: Debit what comes in and credit what goes outNominal account: Debit all expenses & losses and credit all incomes & gains
Let’s start with an example to understand this concept. Here it is: Suppose I buy 10 Books for Rs 1,000. This means that 1 Book costed me. Now, if I sell 5 Books at Rs...