Question

Journalise the following transactions of Mr. Aamir Enterprises 4 (i)Mr. Aamirstarted business with Cash ₹60,000.

(ii) Deposited into Bank Rs. 2, 000
(iii). Purchased good for cash Rs. 3, 000
(iv). Building purchased from Hamza Rs. 5, 000.

Answer 1

Mr. Aamir Enterprises

Journal Entries:

(i) Debit Cash Rs. 60,000

Credit Capital, Mr. AamirRs. 60,000

To record the amount invested in the enterprise.

(ii) Debit Bank Rs. 2,000

Credit Cash Rs. 2,000

To record amount deposited into the bank.

(iii). Debit Inventory Rs. 3,000

Credit Cash Rs. 3,000

To record the purchase of goods for cash.

(iv). Debit Building Rs. 5,000

Credit Cash Rs. 5,000

To record the purchase of building from Hamza, assumed to be for cash.

Step-by-step explanation:

a) Data and Analysis:

(i) Cash Rs. 60,000 Capital, Mr. AamirRs. 60,000

(ii) Bank Rs. 2,000 Cash Rs. 2,000

(iii). Inventory Rs. 3,000 Cash Rs. 3,000

(iv). Building Rs. 5,000 Cash Rs. 5,000