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Journal entry

Accountancy

Whe we pay salary or rent will the name of personto whom it is paid is involved

Prasanth kumar Kamisetty

CA Inter

★ 12K+

12-Jul-20 12:31

324

Answers (1)

Depends on whether there is a real account in the name of hte person to whom it is paid is being maintained by the organisation. If not it can either be directly debited to expense account at the time of payment or it can be credited to Salary /REnt payable account through a jouranl entry