Osa started business with Le 40,000 cash. The accounting entry is debit

Osa started business with Le 40,000 cash. The accounting entry is debit

  • A.
    cash account; credit capital account
  • B.
    capital account; credit cash account
  • C.
    purchases account; credit cash account
  • D.
    expenses account; credit capital account
Correct Answer: Option B
Explanation

Debit capital account (i.e the money used in starting a business) and credit cash 

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