Is Cash Withdrawn From Bank For Personal Use Is A Contra Entry
Is Cash Withdrawn From Bank For Private Use Of Sole Owner Is A Contra Entry No, it is not a Contra Entry as cash withdrawn from bank account of the business for personal use creates Drawings Account which is a personal account and it has no concern with the business matters, according to Separate Entity Concept . For example, Mr. A is a sole proprietor withdrew Cash of Rs. 20000 from bank account of business for his own personal expenses, then the entry to record is shown below: Cash Withdrawn From Bank For Personal Use Journal Entry Drawings a/c 20000 ...