Answer to Question #273751 in Accounting for connect ukufe

Question

Jones Co has the following transactions 1st March 2020: Payment of sh. 400 cash to Mbogo for credit purchaces what is the correct ledger entries to record this transaction?

Answer 1

Solution:

The ledger entries are as follows:

Dr. Accounts payable                           400

              Cr. Cash                                                                400

(To record credit purchases paid in cash to Mbogo)