Cash Account is credited when a building is purchases by the organization for cash.

When an expense is recorded at the same time it is paid for with cash, the cash (asset) account declines, while the amount of the expense reduces the retained earnings account.

Revenue minus Expenses is the net income of the company.

A real account is an account that retains and rolls forward its ending balance at the end of the year. These amounts then become the beginning balances in the next period.

The capital of a company increases when its revenue increases.

Day Book is the other name of Journal.

Identifying an economic transaction is the first phase of an accounting cycle.

An Asset possessed by the business should be shown in Asset part of balance sheet.

The Assets & Equity of a company increases when fresh capital is introduced.

A compound journal entry is an accounting entry in which there is more than one debit, more than one credit, or more than one of both debits and credits.