You are required to discuss the journalizing process based on the double entry rules for all the 10 transactions. Also required to prepare the necessary journal entry for all 10 transactions.

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Meaning of Accounting An accounting equation is an accounting formula that shows that a company's assets always equal the total of its capital and liabilities. Equation - Assets = Liabilities + Capital Transaction. 1:- Ahamed Company started the business with a capital of OMR 75,000. Cash = Liabilities + Capital 75,000 = 0 + 75,000 Effect- The effect of the transaction will be that the firm has received assets totaling OMR 75,000 in cash and claims against the firm are also OMR 75,000 in share capital. Transaction 2: Ahamed Company buys furniture for OMR 5,000 cash. Cash + Furniture. = Liabilities + Capital -5000 +5000 - 0. +0 Effect- The effect of this transaction is that cash has been reduced by OMR 5,000 but new assets were acquired for the same amount. The transaction reduces one asset and at the same time increases the other assets by the same amount. Training Procedure 3. Purchase of Ahamed Company items for OMR 20,000 cash. Cash + Goods Liabilities + Capital -20000 + 20000 = 0 + 0 Effect- As a result of this transaction the cash balance was reduced and other assets (goods) appeared, leaving total assets unchanged. Transaction 4 - Goods costing OMR 12,000 are sold on credit for OMR 15,000. Cash + Goods + Debtors = Liabilities + Capital 0-12000 +15000 = 0 + 3000. Transaction 5, rupee paid 1000 for rent Cash Liabilities + Capital 1000 = 0 -1000. Effect -- the effect of transaction is the firstly, it reduced by cash and secondly as the rent is an expense it result is a loss which decrease the capital. Transaction 6 --received Commission OMR.10000. Transaction 7 -withdraw cash for private use OMR 500. Transaction-8. Paid to creators OMR 20000. Transaction 9 -goods sold for cash for OMR 10000.. EQUITY Transaction 10- rent paid OMR 1000. ASSETS= LIABILTIES + Computer Supplies Accounts Accounts Capital Cash Transactions Revenue Expense Drawing Recervable Payable 75000 0 0 0 0 75000 0 0 0 -5000 5000 0 0 0 0 0 0 0 -20000 0 20000 O 0 0 0 0 -12000 15000 0 0 23000 12000 0 -1000 0 0 0 0 ol 0 0 -1000 0 1. 2. 3. 4. 5 6. 7. 8. 9. 10. 10000 0 0 0 0 0 10000 0 0 -500 O 0 g 0 10 0 500 -20000 0 20000 O 10 0 0 10000 0 0 10008 3 3 -1000 10 0 0 9 10 -1030 0 47500 3000 8000 35000 0 75000 35000 14000 500 Balance TECHNIQUE OF JOURNALIZING - 2 The debit_account title is entered at the extreme left margin of the Account Titles and Explanation column. The credit account title is indented on the next line. GENERAL JOURNAL Account Titles and Explanation Ref. J1 Credit Debit Date 2020 Sept. 1 15,000 15,000 Cash Ahmed, Capital (Invested cash in business) Computer Equipment Cash (Purchased equipment for cash) 7,000 7,000