In this video, I have explained the procedure of passing journal entries using traditional approach. The golden rules of classification of accounts as per traditional approach have been explained in my previous video linked here:
• DOUBLE ENTRY SYSTEM | THE UNKNOWN CONCEPT ...
The Question solved in this video :
1. Mr. A invested Rs. 50,000 into the business.
2. Purchased furniture worth Rs. 20,000.
3. Purchased Goods for cash Rs. 22,000.
4. Goods worth Rs. 8,000 purchased from Rastogi on credit.
5. Sold goods for cash Rs. 7,000.
6. Paid rent Rs. 750.
7. Paid salary to manager Sh. Sham Lal Rs. 5,000.
8. Deposited cash into bank Rs. 20,000.
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