Question

Stear Corp. decides to deposit $1,000 in its bank account. This cash was paid from the cash register of the company. What will be the entry made by the accountant in the company’s journal?

A.
Cash in Bank Account (debit) 1,000 Cash Account (credit) 1,000
B.
Cash Account (debit) 1,000 Cash in Bank Account (credit) 1,000
C.
Cash in Bank Account (debit) 1,000 Register Account (credit) 1,000
D.
Deposit Account (debit) 1,000 Cash Account (credit) 1,000

Answer 1

A

Step-by-step explanation:

Answer 2

Cash Account (debit) 1,000

Cash in Bank Account (Credit) 1,000

Step-by-step explanation:

Given

`Amount = \$1,000`

Required

Write a journal entry

In this case:

The company deposits $1000.

This means that, $1000 will be debited from the company's cash account.

So, the entry for that will be:

Cash Account (debit) 1,000

In the same vein, $1000 will be credited into the company's bank account.

So, the entry for that will be:

Cash in Bank Account (Credit) 1,000