Received Cash From Owner As An Investment Journal Entry
Owner Started Business With Cash Journal Entry When the sole owner of the business started the Sole Proprietorship Business, then, he invested either cash or goods into the business called Capital . Such initial investment made by the owner is received by the business as a right of the owner of the business against the assets of the business is called Owner’s Equity . Initial Investment Journal Entry / Invested Cash Journal Entry For example, Mr. A, as a sole proprietor, made an initial investment of Rs. 50000 into his business. Then the journal entry to record is shown below: Cash a/c 50000 ...