Bookkeeping for Incomes and Expenses

Share Accounting Article below:

The mechanism of recording incomes and expenses transactions/entries are given below:

Explanation with Example Entries and T-Accounts:

Transaction 1: Capital Injection by Owner:

Capital Injection by Owner

Transaction 2: Expenses Paid by Cheque:

Expense Paid by Cheque

Transaction 3: Expense Paid by Cash:

Expense Paid by Cash

Transaction 4: Income Received in Cash:

Income Received in Cash

Transaction 5: Income Received in Cheque:

Income Received in Cheque