General Ledger Rent (EXPENSE) 30/6 Balance Profits and loss Commissions Received (REVENUE) N/A N/A 484 484 DR 30/6 Balance Profits and loss N/A N/A 807 807 CR Capital (EQUITY) 30/6 Balance N/A Profits and loss N/A 18,658 27,607 CR 46,265

General Ledger Rent (EXPENSE) 30/6 Balance Profits and loss Commissions Received (REVENUE) N/A N/A 484 484 DR 30/6 Balance Profits and loss N/A N/A 807 807 CR Capital (EQUITY) 30/6 Balance N/A Profits and loss N/A 18,658 27,607 CR 46,265

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Is the balance column for profit and loss (capital equity) a CR or DR?

General Ledger
Rent (EXPENSE)
30/6 Balance
Profits and loss
Commissions Received (REVENUE)
N/A
N/A
484
484 DR
30/6 Balance
Profits and loss
N/A
N/A
807
807 CR
Capital (EQUITY)
30/6 Balance
N/A
Profits and loss
N/A
18,658
27,607 CR
46,265

Definition Definition Amount earned or lost on the sale of one or more items is referred to as the profit or loss on that item

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