Example 3 Write up the asset , capital and liability accounts in the books ol M/Crash 2002 June Started business with Sh.50,000 in the bank. Bought motor van paying by cheque Bought Fixtures Sh.4,000 on credit from Office Masters Ltd. Bought a van on credit from Motor Cars Ltd Sh.8,000 Took Sh.1,000 out of the bank and put it into the cash till. Sh.8000 A loan of Sh.10,000 cash is received from J Marcus. 25 Paid Sh.8,000 of the cash in hand into the bank account. 30 Bought more Fixtures paying by cheque Sh.3,000

Based on the transactions provided, the asset, capital, and liability accounts in the books of 2002 can be summarized as follows:<br /><br />1. Asset Accounts:<br /> - Cash: The cash account will reflect the cash transactions, including the initial deposit of $Sh.50,000, the withdrawal of $Sh.1,000, and the deposit of $Sh.8,000 into the bank account. The balance in the cash account will be $Sh.50,000 - $Sh.1,000 + $Sh.8,000 = $Sh.57,000.<br /> - Bank: The bank account will reflect the initial deposit of $Sh.50,000, the withdrawal of $Sh.1,000, and the deposit of $Sh.8,000. The balance in the bank account will be $Sh.50,000 - $Sh.1,000 + $Sh.8,000 = $Sh.57,000.<br /> - Motor Van: The motor van account will reflect the purchase of the motor van by cheque.<br /> - Fixtures: The fixtures account will reflect the purchase of fixtures for $Sh.4,000 on credit from Office Masters Ltd. and $Sh.3,000 by cheque from another source.<br /><br />2. Capital Account:<br /> - The capital account will reflect the initial investment of $Sh.50,000 into the business.<br /><br />3. Liability Accounts:<br /> - Loans Payable: The loans payable account will reflect the loan of $Sh.10,000 received from J Marcus.<br /><br />It is important to note that the balances in the asset, capital, and liability accounts may vary based on the specific transactions and their respective amounts.