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Why cash is debited and capital is credited in journal of accounting?
Wiki User
∙ 10y ago
1. Cash is debited because business cash is increased and capital is credited because it is the liability of the business towards its owner to return back at the time of dissolution of business.
Wiki User
∙ 10y ago
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What is the journal entry for prepaid revenue?
prepaid revenue is debited and revenue is credited
What is the journal entry for furniture purchased?
[Debit] Furniture [Credit] Cash / bank
What is the journal entry for payment of accrued expense?
debit accrued expensescredit cash / bank
Journal entry for salary advance paid?
When an employee receives an advance on pay an asset account called employee advances is debited and the cash paid out is credited. When the advance is repaid then the applicable expense accounts are debited and the advance account is credited.
How do you post a journal entry for sale of a vehicle with depriciation?
The amount received for sale of the vehicle with depreciation is compared to the vehicle's net value and debited as a loss or credited as a gain.
A sole proprietor has incurred as expense out of his personal accont - what will be the journal entry?
The expense account will be debited and capital will be credited by the same ammount
What is the journal entry for prepaid revenue?
prepaid revenue is debited and revenue is credited
What is the journal entry for furniture purchased?
[Debit] Furniture [Credit] Cash / bank
How do you reverse a journal entry?
Change the signs on the original entry, ie. change the Debit to credit and vice-versa then re-post the journal.
What is the journal entry for payment of accrued expense?
debit accrued expensescredit cash / bank
Journal entry for salary advance paid?
When an employee receives an advance on pay an asset account called employee advances is debited and the cash paid out is credited. When the advance is repaid then the applicable expense accounts are debited and the advance account is credited.
What is the journal entry to write off an old server?
dr loss on asset retirement dr accumulated depreciation cr asset-server if sold cash would be debited and loss would be debited or gain credited
A newspaper ad submitted and published this week with the agreement to pay for it next week How would that be reflected in an accounting journal entry?
In the accounting journal, this transaction would be recorded as a liability in the current week when the newspaper ad was submitted and published. It would be debited to Advertising Expense and credited to Accounts Payable. The payment would then be recorded in the following week by debiting Accounts Payable and crediting Cash.
How do you post a journal entry for sale of a vehicle with depriciation?
The amount received for sale of the vehicle with depreciation is compared to the vehicle's net value and debited as a loss or credited as a gain.
What would the journal entry be if expenses are paid out of personal cash?
I think that you mean a debit which goes on the left side of the journal or in your record book
What are the two methods of accounting for share capital?
Journal Entry method and Memorandum method
What are the accounting journal entries to record non-taxable gifts?
debit giftcredit capital
