Accounting Fundamentals- jc1 business

Started a business with $25000 cash

• Debit Cash /Credit Capital

• Credit Capital/Debit Cash

Bought office furniture by cheque $1500

• Credit Bank / Debit Office Furniture

• Debit Office Furniture/Credit Bank

Bought machinery $7500 on credit for Planer Ltd.

• Debit Planer Ltd./ Credit Machinery

• Debit Machinery/ Credit Planer

Paid the amount owing to Planers Ltd $7500 by cheque

• Debit Bank/Credit Planers Ltd.

• Debit Planers Ltd/ Credit Bank

Received $600 cash from J. Walker

• Debit Cash / Credit J. Walker

• Debit J. Walker/Credit Cash

Which one is not belongs to liability?

• Mobile Phone Bill

• Bank Loan

• Bank Balance

• Owed To Friends

Dose expense in the liability/Assets account?

• Assets

• Liability

Property owned by an individual

• Liability

• Asset

• Property

• Net Worth

The value of all assets minus the value of all liabilities.

• Financial obligations

• Assets

• Net Worth

• Property

Examples of Liabilities include which of the following:

• Loans, credit cards, and real property

• Loans, mortgage, and credit cards

• Loans, Art collection, and savings account

• Mortgage, credit card, and real property