Advance booking amount

I just joined an infrastructure company. cause this is new field for me i am bit confused regarding when a builder take advance from advance booking customers, so what entry should be passed,and what is appropriate head for that particular income, and should i make ledgers of every individual customers.
Replies (3)

For better accounting always maintain customer wise ledger. Whatever the money received from customer should be credited to indiviual customers a/c. And whenver the revenue recognition criteria got matched as per the Guidance Note on real estate accouting, the balance from customer a/c to be transferred to Revenue a/c.

Thank you so much sir.

sir please clear one more  thing, is there any particular head or ledger which is used in real estate firm  for income.

 

You can use ledger name like, "sale of flats/plots"

Or if you are recognising revenue by percentage completion then you can you "sales based on percentage competion"

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
Featured 03 October 2026
Accountant

A P Lodha and Associates

Jalna

B.Com

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details
Company
ARTICLESHIP 23 October 2026
Articled Trainee

J Y & CO

Hyderabad

CA Inter

View Details
Company
28 October 2026
Assistant Director/ Associate Director-Finance & Accounting

Krea University

Chennai

CA

View Details
Company
19 October 2026
Accountants/Articles (Freshers/Experienced)

ADY & CO.

New Delhi

Graduate (Any)

View Details
Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details