What Is The Entry Of fixed Assets & Which Ledger? How Many
Entries Are Posted For 1 Transaction? If We Paurchase Asset
From XYZ Ltd. & Make Payment.
Answer Posted / prasad r. bhosale
The flow of entry is depending on the nature of
asset....Confuse ;) Now we take a Simple example......
*Credit purchase of the chair's for our regional offices
(Qty.500) from Nilkamal Furniture LTD. cost-50,000.00
Flow of entry.....
CWIP A/c Dr. 50,000.00
To Nilkamal Furniture Ltd. 50,000.00
We can’t capitalize this chair’s until it to inset in the
office; So these chair’s will be laying in the warehouse
for the period; we have to creat one account that is
Capital Work In Progress (CWIP)A/C.(we can create one sub
ledger under the CWIP A/c that is Furniture A/C.)
When the chairs will place in the office...Second entry
will be.....
Fixed asset A/c Dr. 50,000.00
To CWIP A/c 50,000.00
Remaing entry is......
Nilkamal Furniture Ltd. Dr. 50,000.00
To Bank A/c 50,000.00
Is This Answer Correct ? | 4 Yes | 0 No |
Post New Answer View All Answers
how to reduce the interesting giving to debts ?
if I m taking a loan from bank of AED 20 lakhs @ 10.25% per annum for 10 years how much amount as intrest I need to pay in this 10 year period of time to bank.
what is core accounting?
What qualifications have you achieved?
Tell me what is your track record for consistently achieving your targets?
give me examples of the accounting reports you have prepared
what is cost unit n what is cost sheet?
Is push down accounting accepted under generally accepted accounting standards?
What is the entry for provision?
Define executive accounting?
Dear sir/madam, Want to know entry for closing of sundry creditors account on the end of the year when its accounts shows debit balance, Payment made excess. E.g Invoice rcvd : 100000.00 from XYZ company payment Made: 105000.00 Please suggest best entry for the same
What does the word credit mean in terms of accounting?
Define public accounting?
What is the difference between inactive accounts and dormant account?
Tell me what does the investment of personal assets by the owner will do?