plzzz give me the journal entry for the following transaction...
machine costing Rs.20000, dep to date Rs.2000, sold for Rs.26000, wages paid for uninstalling the machine Rs.300 and commision paid to the agent Rs.1500.
Akarsh Goyal (Student-CA Final) (1357 Points)
31 August 2011plzzz give me the journal entry for the following transaction...
machine costing Rs.20000, dep to date Rs.2000, sold for Rs.26000, wages paid for uninstalling the machine Rs.300 and commision paid to the agent Rs.1500.
Akhil Sharma
(Service)
(141 Points)
Replied 31 August 2011
| Amount | Amount | |
| Cost of machine | 20000 | |
| Dep to date | 2000 | |
| Written down value | 18000 | |
| Sale proceed | 26000 | |
| Less: Expenses incidental to sale | ||
| Labour | 300 | |
| Commission | 1500 | 24200 |
| Profit on sale of asset | 6200 | |
| Journal entry: | ||
| Dr Buyer of Machine | 26000 | |
| Dr Accumulated Dep | 2000 | |
| Cr Machine | 20000 | |
| Cr Profit on sale of Machine | 6200 | |
| Cr Expenses payable (labour & commission) | 1800 | |
AKKISANIDIVYAREDDY
(STUDENT)
(37 Points)
Replied 31 August 2011
cash 26000::::dr
to profit on sale 4000::::cr
to depreciation2000:::::cr
to machinery20000:::::cr
CS Bijoy
(Expert)
(6394 Points)
Replied 31 August 2011
That was great explanation by Sharmaji...
agreed with.
Nitin Garg
(CA FINAL Article Trainee B.com)
(171 Points)
Replied 31 August 2011
Good expnanation by Mr. Sharma.. Aggreed!!
ravi kumar s
(student)
(84 Points)
Replied 31 August 2011
1. bank a/c dr. 26000
to machinery a/c 18000
to residential expenses 1800
to profit on sale of machinery 6200
to depreciation a/c 2000
2. residential expenses a/c dr. 1800
to bank a/c 1800
HARI PRASAD
(M.COM)
(172 Points)
Replied 31 August 2011
I suppose the following entry to be passed for the transaction what was been asked above....
1. Purchase of Machinery costing for Rs20000
Mchinery a/c Dr 20000
Wages a/c Dr 300
Commission a/c Dr 1500
To Cash a/c 21800
(Being application of source is been used towards above said transactions )
2. Depreciaton Rs2000 and sale of machinery For Rs 26000
Cash/ Bank a/c Dr 26000
Depreciaton a/cDr 2000
To Machinery a/c 28000
(Being entry for sale of machinery and depreciaton of machinery).
3. Profit on sale of Mahinery as follows...
a) Machinery a/c Dr 6200
Profit on sale of machinery a/c 6200
b) P&L a/c Dr 6200
To Profit on sale of mahinery a/c 6200
(Being profit on sale of machinery has been transferred to P&L a/c)
Thank q for giving me an oppertunity to workout on the same
i suppose the above said information will be useful for the needful.
Rajesh Rawat
(CA-IPCC/Article )
(53 Points)
Replied 31 August 2011
Dear goyal,
I am fully appreciated to Mr. sharma.
Akarsh Goyal
(Student-CA Final)
(1357 Points)
Replied 31 August 2011
HOW ABOUT..
cash dr. 24200
wages dr. 300
comm. dr. 1500
To mach 18000
To P/L 8000
| Originally posted by : Akarsh Goyal | ||
 |
HOW ABOUT.. cash dr. 24200 wages dr. 300 comm. dr. 1500 To mach 18000 To P/L 8000 |
 |
Absolutly not.....
Please go with sharmaji.....
krunal j shah
(C.A)
(37 Points)
Replied 01 September 2011
debenture holder agreed to take over freehold property book value rs 100000 at a valuation 120000 in part payment of their holdings & to provide additional cash of 130000 secured by a floating charges on companys asset at an interest of 8% pa.. amount of freehold property is 425000 6% dentures rs 3750000...can u tell me journal entry for internal reconstruction please
Aravind..
(CA)
(1262 Points)
Replied 01 September 2011
For accepting, property at a value higher than book value,
Debentures A/c Dr. 120000
To Freehold Property 100000
To Reconstruction A/c 20000
For Bringing in additional funds,
Bank A/c Dr. 130000
To 6% Debentures A/c 130000
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