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I am new to running my own business and have limited bookkeeping knowledge. I apologise for the simplistic question. I want to establish cash in bank (created via equity capital) and equity contributions of computers etc. made to the business. How do I establish these transactions/entries?
25/01/2014
Any time you receive cash it's "Cash Received". Makes sense.

When it's one of the unusual starting a business type of transactions like issuing shares the difficulty is what account to pick. If it's a company issuing shares that would be "issued capital". If you are loaning money to the company then the account would be "loan from owners".

If it's not cash then you could enter a General Journal to debit plant and equipment and credit loan payable to owners. Some people would enter this as a cash received from owners and then an offsetting cash payment to purchase the plant and equipment, because as non accountants they find journals a bit difficult.
 

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