answersLogoWhite

0


Best Answer

she invested P 50, 000 in cash to start his business

User Avatar

vanessalegada025

Lvl 2
2y ago
This answer is:
User Avatar
More answers
User Avatar

Wiki User

9y ago

This journal entry is recorded at the event of business start when owner invested capital in business.

This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What is the journal entry debiting cash and crediting capital would be a result of a?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Accounting

How do you calculate return on capital?

The way to calculate the Return on Capital (ROC) or Return on Investment (ROI) is dividing net earning between the total capital. The result is multiplied by 100, and you get the percentage.


What is the difference between capital and revenue income giving examples?

capital income is the money raised to set up a new business or expand an existing one and revenue income is the money generated by a business as a result of its day to day operations


What exactly is capital gains tax and who is affected by it?

Capital gains is defined as income made from the sale of assets that were purchased at a price lower than that of the sale. Capital gains tax would be the taxes the government charges you on that income. Most capital gains taxes are the result of the sale of stocks and bonds, commodities, and real estate. A very good reference for this can be found on Wikipedia at http://en.wikipedia.org/wiki/Capital_gains_tax.


Why does paid in capital and earned capital need to be kept separate?

Paid in Capital is the amount of investment a shareholder has contributed to the business for use and earned capital is the amount of profit that has been generated by the business itself. It must be separate for investor and shareholder information so that the difference between the two can be clearly stated.


Is accounts receivable a real account in accounting and is goodwill a real account in accounting?

Accounting in account real a goodwill is and accounting in account real a receivable accounts is. Real accounts, i.e. Balance Sheet accounts are ongoing perpetual records and represent "real" items; cash, receivables, inventories, accounts payable, invested capital, etc., etc. Accounts receivable and goodwill therefore are both real accounts as they have value in and of themselves.😧😧 Nominal accounts represent items of income and expense. Nominal accounts have no balances at the beginning of an accounting period and change as various debits and credits are applied as a result of activity of income and expense throughout the accounting period. At the end of the accounting cycle the nominal accounts are returned to zero by debiting them by an amount equal to their credit balance if such exists, or crediting an account if it has a debit balance. The offsetting entry of each of these is to a Profit or Loss Account. If after all accounts are zero, the P&L account has a debit balance then operations were profitable (income exceeded expenses), and conversely with a credit balance a loss was incurred. The P&L is then "closed" by either debited or crediting to bring it to zero, whichever is appropriate, with the offsetting entry going to "Retained Earnings", a real account, and bringing the Balance Sheet into balance and leaving all nominal accounts at zero. To put it another way if all debits and credits of the General Ledger are added up, then they will both be equal. But if only the debits and credits of the nominal accounts are added up there will be a difference and that difference, depending on whether it's a credit or debit will be the profit or loss. Similarily if the debits and credits of the real accounts are added they will be different by the identical amount of adding the nominal accounts only opposite.

Related questions

Overseas expansion was partly a result of manufacturers' need for?

Capital.


What is the result of the conflict in The Hunger Games?

The result of conflict between the districts and the capital is that the capital punishes the districts. In the war it started the hunger games and poverty and riots caused the district to kill district personnel.


What are some of the steps for evaluating proposals for capital investments?

Approve funds for research that may result in a product idea. Approve funds for market research that may result in a product proposal. Approve funds for product development that may result in a usable product. Approve funds for plant and/or equipment


How do you calculate return on capital?

The way to calculate the Return on Capital (ROC) or Return on Investment (ROI) is dividing net earning between the total capital. The result is multiplied by 100, and you get the percentage.


Where could federally insured capital in ones name disappear?

The federally insured capital in ones name could disappear as a result of the incorrect entries.


If you visited Mexico City which former Aztec capital would you be treading?

Tenochtitlan was the Aztec capital on the site of Mexico city. It was chosen originally as a result of a prophecy.


What was the result of british attack on Washington D.C. in 1814?

The British burned the White House and the capital


What was the result of the British attack on Washington d.c.. in 1814?

The British burned the White House and the capital


What was the result the British attack of Washington D.C. in 1814?

The British burned the White House and the capital


Is the growing gap of objectivity as a value and objectivity as a practice in the mainstream and alternative journal isms in Zimbabwe a by product of or a result of the economic and political crisis?

Yes...


What is outstanding capital?

Outstanding capital refers to the number of shares that remain with the stockholders. This is the result of issued shared minus treasury shares and the dividends are paid based on these shares.


Why is there low capital formation in third world countries?

capital fromation, or investment, is funded by savings. Low incomes and high consumtption rates result in low savings rates hence a scarcity of funds for capital formation