1.
Journal entry is a set of economic events which can be measured in monetary terms. These are recorded chronologically and systematically.
Accounting rules for Journal entries:
- To record increase balance of account: Debit assets, expenses, losses and credit liabilities, capital, revenue and gains.
- To record decrease balance of account: Credit assets, expenses, losses and debit liabilities, capital, revenue and gains.
To Record: Each transaction for Maintenance Services O.
2.
Accounting equation is the mathematical representation of the relationship among the assets, liabilities, and
To Indicate: The impact of each transaction on the accounting equation for each company.
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Financial accounting
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