Business promotion to stock entries

The correct entry will be

                Business Promotion A/c Dr.         XXX

                                To Purchases A/c                             XXX

(Being Goods given as gift by Lucky Draw)

Note: since in purchase account inventory entries are possible, hence by crediting the same we are lowering our stock, i.e., in stock summery it will be shown as outward entry.

Adhya

To enter business promotion expenses to stock you must use alter your ledger which must be in the name of "Business Promotion Expenses A/c". You shoud enable Inventory Values are Affected as Yes.

Now you can add quantity to this ledger using stock as Business Promotion Expenses.

You cannot and should not enable inventory in business promotion A/c, because if you enable inventory in this account you will face the following problem.

You will surely going to debit the business promotion A/c, in that case you will entry the inventory in debit side, i.e., the value of your stock and qty of your stock will increase.