Question 1

Show the double entry for the following transactions and state the effect of each of the transactions on the accounting equation.

Question 1 Show the double entry for the following transactions and state the effect of each of the transactions on the accounting equation. An example has been given as below: Transactions Effect Double entry Cash sales Cash increase Dr Cash A/C Sales increase Cr Sales A/C Transactions Effect Double entry 1. Bought fixtures and fittings for the shop in cash. 2. Paid rent for the shop by cash 3. Owner transferred a computer from business to home. 4. A loan of RM 2,000 is received by cash from Salwa. 5. Sold goods on credit to Ali for RM 1,000. 1 6. Purchased goods on credit from Abu. 7. Paid Arif in cash. 8. Ali returned goods to the company 9. Paid carriage outwards by cheque amounting RM 500. 10. Received sales commission from ABC company by cheque. (10 Marks)