[PDF] journal entries exercises with answers pdf

What is a journal entry in accounting?

The journal book must record every business transaction, which means entries need to be made. In accounting lingo, this is called a journal entry. We will provide you with 20 frequently asked journal entry examples on Google along with their logic. When following double-entry bookkeeping there needs to be at least 1 debit & 1 credit.

How do I record an entry balance?

To make the entry balance, the company needs to record another credit of $800 and such a credit could be recorded to another account. The account could be a balance sheet or income statement account. If you need more practice on this and other topics from your accounting course, visit Dummies.com to purchase Accounting For Dummies!

What is a journal entry for drawing?

Journal Entry for Drawings (Cash) Drawings are personal withdrawals made by the owner and act as a reduction in the owner’s capital. Drawings are a reduction in capital for the business therefore debit the decrease in capital. Cash withdrawal from the business is a reduction in current assets as a result credit the decrease in assets.