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When diesel supplied to the hired vehicle we have to credit
1.Diesel 2.Hire 3.Owner of the vehicle
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Answer Posted / parul
it will be debited to owner of the vehicle a/c. sequence of
the entries will be as follows:
1. hire vehicle rent a/c dr.
to owner of the vehicle a/c
(when vehicle hired)
2. owner of the vehicle a/c dr.
to hire vehicle rent a/c
(when diesel suppliedand)
3. hire vehicle rent a/c dr.
to cash/bank a/c
(when cash paid)
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