Forums
Journal Entry
Accountancy
answered on 09-Sep-20 23:09
Please write journal entry and explain given below transaction is of passbook at bank or cash book of account holder. "Dear bank User, ur A/cX111 - debited by Rs 1000 on 11 -8-2020."
latest answer
Generally we receive these type of messages mentioned above to the registered mobile numbers which are linked to bank accounts. This message indicates that the customer account is debited in bank books of accounts(passbook is a copy of account of customer in the bank). Customer deposits money in the bank, such money should be returned to the customer as on request of customer. From this it clearly depicts that the customer is creditor for bank So customer a/c will be of credit balance(deposited amount) in bank books if he draws money the liability of bank will be reduced. so, to reduce credit balance it will be debited such that the balance in bank account will be reduced. There are two types of account formats i) T shaped accounts ii) Running balance form of accounts The second type of accounts are used in banks which you can see in bank passbooks. Journal entry in the books of customer, Expense/Asset/Drawings a/c....Dr 1000 To Bank a/c. 1000 (Being expense/Asset/Drawings made through bank) Journal entry in the books of Bank, Customer a/c.... Dr. 1000 To cash a/c. 1000 ( Being cash drawn by customer) If the bank customer issues any cheque to his creditor and he presents such cheque on a later date NO ENTRY is required in the books of Bank customer, because it is already recorded on the transaction date. Hope it helps!!!
Hari Krishna
CA Foundation
★ 1K+
1
665
Debenture
Accountancy
answered on 10-Sep-20 00:46
Own debentures account should b debited or directly we can debit debentures account.. Can u plz send me how to do dis some widout own debentures account if so
latest answer
Journal entries are recorded in chronological order. Hence the entries should be made for when debentures are purchased and cancelled as well. When purchased, Debenture redemption a/c.... Dr(cost) Debenture interest a/c...........Dr(interest accrued) To Bank a/c. (Being debentures purchased) As we just only purchased the debentures and not cancelled, debentures a/c cannot be debited as on that date. Later when we cancel the debentures the following entry will be passed. Debentures a/c...........Dr(Face value) P&l a/c(if any loss)....Dr To Debenture Redemption a/c(cost) To capital reserve(if any profit) (Being debentures cancelled) Here profit should be clearly credited to capital reserve because this profit is arised out of capital item(Debt capital) it is called capital profit. But loss should be written-off in p&l a/c. Hope it helps!!!
Shruthi V
CA Inter
★ 0
7
674
Debenture
Accountancy
answered on 08-Sep-20 17:51
On what amount should we create drr & drr investment and when.
latest answer
Still on face value.
Shruthi V
CA Inter
★ 0
3
598
Cash flow statement
Accountancy
answered on 12-Sep-20 13:01
Why this is treated as cash flow from investing activities? (In the pic)
latest answer
Purchase of shares and other securities , giving loans are basically investing activities.
Swathi Krishna
CA Final
★ 8K+
3
645
Applicability of AS group 2
Accountancy
answered on 07-Sep-20 22:31
What are AS are applicable?. Only 4,5,11,16,19,26,29 are 12,20 excluded? Old syllabus
latest answer
Ok thank you sir
Triveni Patil
CA Inter
★ 290
2
555
Hire purchase
Accountancy
answered on 06-Sep-20 16:02
3 equal installments together with interest 9% mnz. Is interest included in the installments or Its not
latest answer
Yes.
Shruthi V
CA Inter
★ 0
3
797
Cost accounting
Accountancy
answered on 06-Sep-20 14:17
Materials chapter problem please explain problem sir
latest answer
Thank you sir
Chandra Maddi
CMA Inter
★ 1K+
4
622
Insurance claims
Accountancy
answered on 05-Sep-20 17:47
Normally gross profit % is calculated as NP+ISC/TURNOVER OF PREVIOUS FINANCIAL YEAR RIGHT. BUT y here ww have used adjusted turnover
latest answer
The question talks about adjustment to be made.
Shruthi V
CA Inter
★ 0
2
593
Insurance claims
Accountancy
answered on 06-Sep-20 09:15
For reduction we should take standard turnover - actual turnover right.. Den y hv u take annual turnover here
latest answer
In table.
Shruthi V
CA Inter
★ 0
4
700
Brs
Accountancy
answered on 09-Sep-20 23:58
Illustration 1. 7 th point
latest answer
Discount allowed is a loss to the business so it has debit balance as it is not posted in discount allowed column of cash book it will reduce the discount allowed total column by Rs 25. Which creates a difference(deficit of debit total) of Rs 25 in the total of debit balance and credit balance in trial balance and it will be transferred to suspense a/c. Once the reason for such difference is known suspense account balance is reversed and rectified with respective account as shown below entry. Currently suspense a/c will balance trial balance by appearing on debit side of trial balance which indicates suspense a/c has debit balance of Rs 25. Such (suspense a/c) debit will be credited as the reason known now and respective account (Discount allowed) will be debited which exactly should be debited. These nullifies the effect of suspense a/c. Hence, purpose of suspense account is served. Discount allowed a/c.....Dr. 25 To Suspense a/c. 25 (Being rectification entry passed in journal proper).
Prasanth Kumar
CA Inter
★ 13K+
4
657