Company A has purchased goods worth Rs. 25000 from company B and made the cash payment of Rs 5000 and remaining will be payable with in 30 days.
Assume that there is a late payment charge @ 2% on remaining amount as the invoice was received after due date from company B.
Pass the journal entry in the books of company A for all the above transactions.
Answer / navin kumar
In the Books of Company A
Purchase A/C Dr 25000
To Cash 5000
To B Company 20000
Profit and Loss A/C Dr 400
To late payment Charge 400
Is This Answer Correct ? | 3 Yes | 0 No |
When you prepare Profit and loss A/C either you will get profit or loss but not both.Then why we are saying it as profit AND loss A/C,why cannot we say it is as Profit OR loss account?
explain me what steps would you take to increase revenue for this company?
What is the important of computerized accounting to manual?
what is the definition of dual reporting in view of global market?
The Horse bought rs. 2000 on Jan.20th died, its carcase was sold for rs.50 loss rs. 1950 what is journal enty
how to know i reconcilation statement in tall 9 and in reconcilation chq. details also.
what is the limit of cash payment in a manufacturing firm and job work related work and how much we paid to the job worker cash payment in financial year Aslam
hello friends i like to know journal entry for one loan transaction ie if you purchase a car for EMI with initial payment how to make first entry & monthly entry any thing is there? pls reply to me.
what is the principal of accounting
Diff between Net profit & Gross profit?
What is different between cash accounting & Mercantile Accounting ?
in how many days employees dues should be paid.