Business started with a Capital of Rs.10,00,000/- should be credited to
A. Cash account
B. Capital account
C. Drawings
D. Salaries account
Answer:B
Business started with a Capital of Rs.10,00,000/- should be credited to
A. Cash account B. Capital account C. Drawings D. Salaries account
Explanation: Due to capital investment, Money will flow into the business i.e. Bank account -Dr side, and the person who brought it, will be credited i.e. Capital account.