1- Selling a commodity for the amount of 1,000 dinars to the merchant Muhammad and collecting half of it in cash and the rest on the account 2- Buying a commodity for an amount of 7,000 dinars from the merchant Samir and paying a quarter of its value by check from the company's account with the bank 3- The owner Bahaa bought machines for the amount of 5,000 dinars in cash, with half of them being recorded as an addition to the capital and the other half as a debt owed by the company. Required: Determine the debtor party and the credit party from each of the above operations

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

1- Selling a commodity for the amount of 1,000 dinars to the merchant Muhammad and collecting half of it in cash and the rest on the account 2- Buying a commodity for an amount of 7,000 dinars from the merchant Samir and paying a quarter of its value by check from the company's account with the bank 3- The owner Bahaa bought machines for the amount of 5,000 dinars in cash, with half of them being recorded as an addition to the capital and the other half as a debt owed by the company. Required: Determine the debtor party and the credit party from each of the above operations

Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Applying For Credit
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education