Capital Owner’s equity Increase Credit

Cash Assut Increase Debit

Account Payable Liabilites Decrease Debit

Cash Asset Decrease Credit

Cash Asset Increase Debit

Note Payable Liabilities Increase Credit

Theater Supplies Expense Increase Debit

Account Payable Liabilities Increase Credit

Account Payable Liabilities Decrease Debit

Cash Asset Decrease Credit

Tax Expense Expense Increase Debit

Cash Asset decrease Credit
 Salaries Expense Expense increase Debit
Rent Expense Expense Increase Debit
Cash Asset Decrease Credit

Drawings Owners’ Equity Increase Credit

Cash Asset Increase Debit

Account Receivable Asset Increase Debit

Sales Revenue Revenue Increase Credit

9/11 Cash 125000

Mr.Ahmed’s Capital 125000

Purchases 20000
Cash 20000

Rent Expense 5000

Cash 5000

Office supples 1500

 Cash 1500

Cash 5000

Sales 5000

Purchases 10000
Account Payable 10000

Salaries Expense 12500

Cash 12500

Account Payable 3500

Cash 3500

Account Receivable 15000

Sales 150000

Purchase Return 250

Cash 250

Cash 750

Sales Return 750

Cash 1000
Drawings 1000

Cash 500
Sales 500

Cash 165000
Capital 165000

Purchases 35000
Cash 35000

Rent Expense 1500

Cash 1500
 Purchases 1200
A/c payable Khan & Co. 1200

Salaries Expense 2500

Cash 2500

A/c Payable 700

Cash 700

Insurance Expense 400

Cash 400

Cash 1500
Drawings 1500

Q.4
Answer
a. Mr.Ali borrowed cash from bank for Rs.10000.
b. Purchased Merchandise inventory on cash Rs 5000.
c. Mr.Ali paid cash to Mr.Abid from his business investment Rs.5000.
d. Mr.Ali returned Merchandise and Return loan to bank Rs 5000.
e. Mr.Ali invested Rs. 20000 in business.