Cheques

Save Share

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 July 2012 Dear sir

we are in real estate firm and we received from customer security cheques aganist rent
this security cheque i want to enter in my books of accounts.please give me the journal entry and under which head i can create this ie(c/liability)
please help me

CA Prashant Gupta

CA Prashant Gupta (Expert)

06 July 2012 let assume you got cheque from Mr. A

then entry will be

Bank A/c Dr
To Security Rent "A"
(Being security received from Mr. A on account of rented house no..........)

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

06 July 2012 sir
we can't deposit to bank because they are giveing rent (unless if they did not give the rent we can submit to bank)and i want to keep this cheque in my accounts supperately.because my owner want to see this cheques in book of accounts

CA Prashant Gupta

CA Prashant Gupta (Expert)

06 July 2012 then you can use it like

Security Cheques A/c Dr
To security Rent A

it will effect Asset and Liability both. but auditor can object because it will effect your current ratio. But entry will be this

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

06 July 2012 thank you very much sir

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now