Journal Entry - Class 11, Accountancy

Journal Entry is a fundamental concept in Accountancy. It is a record of financial transactions in chronological order. In this question, we need to pass a Journal Entry for rent paid of Rs. 5000.

1. Understanding the Transaction
Before passing the Journal Entry, we need to understand the transaction. Here, the company has paid rent of Rs. 5000, which means there is an outflow of cash from the company's account.

2. Identify the Accounts
For every transaction, we need to identify the accounts involved. In this case, the two accounts are Rent Expenses and Cash.

3. Debit and Credit Rules
After identifying the accounts, we need to apply debit and credit rules. Since rent is an expense, it will be debited, and since cash is going out, it will be credited.

4. Journal Entry
Finally, we can pass the Journal Entry as follows:

Rent Expenses Dr. 5000
To Cash 5000

Explanation:
- Rent Expenses account is debited with Rs. 5000 as it is an expense and will increase the expenses of the company.
- Cash account is credited with Rs. 5000 as it is going out of the company's account and will decrease the cash balance.

Conclusion
Journal Entry is a crucial concept in Accountancy and helps in keeping the financial records of a company. In this question, we have successfully passed a Journal Entry for rent paid of Rs. 5000.

Rent a/c Dr. 5000
To cash a/c 5000