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Provisional entries

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(Querist)
24 September 2015 What are provisional entries? How are they to be entered?
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Amol S Joglekar

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Amol S Joglekar (Expert)
24 September 2015 As at the year end, certain provisions are required to be made e.g. Salary of the month of March, which is normally paid in the following month i.e. April. Hence as on 31/03/20xx, provision for salary is required to be made in the accounts.

Debit Salary
Credit Provision for Salary
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