The journal entry to record the investment of cash by the owners of a business would require a debit to the cash account and a credit to
A) investments.
B) revenue.
C) owner's capital.
D) accounts receivable.

Question

Quizplus · Accepted Answer

When owners invest cash in their business, the cash account (an asset) increases, requiring a debit. The credit is made to the owner's capital account to reflect the increase in the owner's equity in the business.

The Journal Entry to Record the Investment of Cash by the Owners