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ACCOUNTING - Recording a receipt as an increase in cash and revenues?


Can an accountant record the receipt of an investment of $12,000.00 as an increase in cash and revenues? Please explain me why or why not.
Thanks!

Did you mean someone invested in your organisation and introduced $12,000 into the organisation? If you are a partnership, you'd
Dr Cash 12,000
Cr Partner's capital 12,000

If you're a company, you'd
Dr Cash 12,000
Cr Shareholders' equity 12,000

If someone is investing money, it is not revenue. It is contributed capital.

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