Ledger Trial Balance and BRS Test - 5

Credit voucher is concerned with receipts of cash for any transaction. So there payment of cash for good purchase which is not related to credit voucher.

Credit note is a document given by seller to the purchaser who has return goods and he can adjust this amount with future purchases. So this means credit has been granted to the person named in the credit note.

Accounting equation is based on dual concept which is expressed by :- assets = Liabilty + capital.

There is always dual effect in accounting.

there can be effect only on one side with many transaction and many transaction affect the both side of the equation by increase or decrease with equal amount. 

Like :- purchase of good affect only assets side with cash outflow and stoock increment.

But payment to creditor affect cash and liability.

Personal account is an account for use by individual for that person's own need. These account are in the name of person. Like Ram ,Shyam, SBI Bank Account.

Hence Assets are having real account ,so Investment Account is a Real Account not a personal account.

Impersonal account means account other than personal. 

Rule of Personal account is debit the receiver credit the giver.

So, option 3 and option 4 is other than personal means Impersonal.

Any journal entry which affect more than multiple account is called compuned entry and these entry are recorded in compound voucher because these affect multiple debit credit.

revenue is income earned by business entity which increases the assets balance and capital balance of the entity.

Drawing is amount withdrawn out of business for personal purpose which ultimately affects capital balance. As much as Drawing increases then capital Decreases.

If liability decrease by 5000 this means there is a payment for any liability which means cash outflow  . Cash is an assets which get decreases when we pay liability which means assets also decreases with same amount.