MGT101 - Financial Accounting

Sr. No Transactions Account to be Debited Account to be Credited Increase or decrease (affect on accounts due to transactions)

1 Mr. A invested in business Rs.50,000 Cash Mr. A’s Capital Increase in asset Increase in Owner’s Equity

2 Purchased furniture for cash Rs.15,000 for office use Furniture Cash Increase in Asset Decrease in Asset

3 Paid salaries of Rs.4,000 to office staff Salaries Cash
Increase in Expense
Decrease In Asset

4 Received commission on sale of goods worth Rs.1,000 Cash Commission
Increase in Asset
Increase in Revenue

5 Received cash of Rs.1,000 from Mr.Bilal who owed him Rs. 2,000 for last 30 days on account of goods sold.
Cash

Mr. Bilal

Increase in Asset
Decrease in Asset