CPT Accounts Query

Mahesh sharma (CPT STUDENT) (102 Points)

07 June 2011  

goods distributed by way of free samples1000

journal entry is

 

Advertisement expenses A/c    Dr

        to  Purchases A/c

 

 

 A withdrew goods for personal use

 

entry is    

 

Drawings A/c         Dr

      to purchases

 

i want to know why purchase A/c is credited in these two entries .... its logic

 

 

TRIAL BALANCE PROBLEM

 

Rs. 1500 received from sub tenant for rent and entered correctly in the cash book is posted in the debit of rent account.. in the trial balance

 

a) the debit total will be greater by 3000 than the credit total

b) the debit total will be greater by1500 than credit total

c) subject to other entries being correct total will agree

d ) none of above

 

 

what option will be correct and why it will be so...