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Why do we dr. Creditors in branch accounts under debtors system in this sum ?

Sri kanaga Varshini

CA Final

★ 3K+

09-Sep-21 18:54

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Answers (5)

Best Answer

In question they given direct purchases paid by head office,it is like goods sent to branch but the difference is branch just rembursed the expence. Under debtors method we write good sent to branch on debit side

Sairam Reddy

CA Final

★ 10K+

09-Sep-21 20:28

Sairam Reddy

In question they given direct purchases paid by head office,it is like goods sent to branch but the difference is branch just rembursed the expence. Under debtors method we write good sent to branch on debit side

Thank you

Thread Starter

Sri kanaga Varshini

CA Final

★ 3K+

09-Sep-21 20:37

Thread Starter

Sri kanaga Varshini

Thank you

Sorry it's wrong Did you observed in debtors method we write on opening creditor's and closing creditors and cashpaid to creditors to represent direct purchases maid by branch and paid by head office.see the following attachment and if you don't understand please ask again

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Sairam Reddy

CA Final

★ 10K+

09-Sep-21 20:58

Did you understood

Sairam Reddy

CA Final

★ 10K+

09-Sep-21 21:44

Sairam Reddy

Sorry it's wrong Did you observed in debtors method we write on opening creditor's and closing creditors and cashpaid to creditors to represent direct purchases maid by branch and paid by head office.see the following attachment and if you don't understand please ask again

Yeah understood Thank you

Thread Starter

Sri kanaga Varshini

CA Final

★ 3K+

10-Sep-21 19:25

IndigoLearn

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