What will be entry for that: Busines strarted with brrowed
cash Rs. 25000 from Mr. X. if capital will be creadit. Why?
Answer Posted / babhu kanchupalli(dms)
Cash a/c Dr
To Capital a/c
(being business started with capital)
According to the seperate entity concept, the proprieter is seperated from the business.If the proprieterstarts the business with borrowed money......it belongs to his personel transaction....businesss has no effect on this.....even they invested their own money or borrowed from others it is up to him only....for business capital is a liability......in this case also it is same like that.....
Is This Answer Correct ? | 0 Yes | 0 No |
Post New Answer View All Answers
What is control in accounting?
What are the different types of gst?
purchase plant and machinery
what is casual receipt? is it exmpted in income tax?
How to pass workscontract sale invoice which includes WCT & VAT.
rents part of its building for a monthly fee of $1,250. The rent for the month just past has not been received.
what is the responsiblities for accounts manager?
What is normative accounting?
my question is I am finance student I want to know which type of the question are asked by the interwier in interview.
Why did you choose the a-levels you did?
in terms of accounting the trial balance when is it taken?
What are the difference between Debit Memorandum and Credit Memorandum?
Explain which account is responsible for interest payable?
By saying, perpetual or periodic inventory system; what do we mean?
Explain me how much mathematics knowledge is necessary or required in accounting?