ACCOUNTING EQUATION

Indicate the Journal Entry for the following scenarios:

1. Mr. Riaz commences his business with cash of Php 50,000.

Cash 50,000
Riaz, Capital 50,000

2. Purchased car thru bank loan of Php 500,000.

Vehicle 500,000
Accounts/Notes/Loans Payable 500,000

3. Purchased furniture on cash Php 10,000.

Furniture 10,000
Cash 10,000
4. Sold merchandise for cash Php 2,000. Cost of these merchandise were Php 1,500.
Cash 2,000
Cost of sales 1,500
Sales 2,000
Inventory 1,500
5. Sold merchandise on credit for Php 4,000. Cost of these merchandise were Php 3,000.
Accounts Receivable 4,000
Cost of sales 3,000
Sales 4,000
Inventory 3,000
6. Paid Php 1,000 to creditors for merchandise purchased
Accounts Payable 1,000
Cash 1,000
7. Receive cash from debtor of Php 1,000
Cash 1,000
Accounts Receivable 1,000
8. Mr. Riaz withdraw Php 500 from his business
Riaz, Withdrawal 500
Cash 500

This equation must ALWAYS BE IN BALANCE.