Question
Show the journal entries necessary to record the following items: Opening balances as at 1 January 2019 are mentioned bellow. - Land 1,000,000 - Building
Show the journal entries necessary to record the following items: Opening balances as at 1 January 2019 are mentioned bellow.
- Land 1,000,000 - Building 500,000 - Debtor - Kumara 30,000 - Creditor Sandun 50,000 - Cash and bank 80,000 - Bank loan 150,000
Following transactions are occurred during the month of January 2019. 5th Jan, 500,000 worth furniture were purchased on credit basis from AB Co Ltd 14th Jan, 700,000 worth land was purchased on cash from XY Co. Ltd 20th Jan, 800,000 worth motor vehicles was invested to the business as capital by the owner. 30th Jan, Building was sold for 700,000 on credit to Jusmin. 31st Jan, Owner has withdrawn 50,000 worth furniture from the business
Record the above-mentioned opening balances and transactions in the relevant primary entry books and post into the ledger.
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