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Analyze thefollowing transactions and fill the boxes given below in front ofeach

ID: 2447587 • Letter: A

Question

Analyze thefollowing transactions and fill the boxes given below in front ofeach transaction with appropriate answers.

An example is alsogiven in Sr. No. 1 for reference and guidance.

Sr. No

Transactions

Account to be Debited

Account to be Credited

Increase or decrease (affect on accounts due totransactions)

1

Mr. A invested in businessRs.50,000

Cash

Mr. A’s Capital

Increase in asset

Increase in Owner’sEquity

2

Purchased furniture for cashRs.15,000 for office use

?

?

?

3

Paid salaries of Rs.4,000 tooffice staff

?

?

?

4

Received commission on sale ofgoods worth Rs.1,000

?

?

?

5

Received cash of Rs.1,000 fromMr.Bilal who owed him Rs. 2,000 for last 30 days on account ofgoods sold.

?

?

?


Sr. No

Transactions

Account to be Debited

Account to be Credited

Increase or decrease (affect on accounts due totransactions)

1

Mr. A invested in businessRs.50,000

Cash

Mr. A’s Capital

Increase in asset

Increase in Owner’sEquity

2

Purchased furniture for cashRs.15,000 for office use

?

?

?

3

Paid salaries of Rs.4,000 tooffice staff

?

?

?

4

Received commission on sale ofgoods worth Rs.1,000

?

?

?

5

Received cash of Rs.1,000 fromMr.Bilal who owed him Rs. 2,000 for last 30 days on account ofgoods sold.

?

?

?

Explanation / Answer

2

Purchased furniture for cash Rs.15,000 for office use

Furniture

cash(for purchasing furniture)

Increase in asset

Decrease in asset

2

Purchased furniture for cash Rs.15,000 for office use

Furniture

cash(for purchasing furniture)

Increase in asset

Decrease in asset