Entry for transfer of funds from current a/c to F.D?

Dear friends

Our company bank a/c  having balance of 5 lacs. If i transfer the partial funds say 4lacs to short term deposits(f.d)

How to make entry for this.

As per my knowledgethe entry is



                                               Sh.term dep a/c dr  4 00000                       ---- under bank accounts

                                                   to bank a/c                400000                     

Please clarify whether the entry is right or wrong.

Thx., in advance

malarvannan.d

























Replies (4)

I think entry is right, but wait for expert members

yes it is correct                  

ya entry is right

Entry is -

      Give Bank name FD A/c   Dr

To   Bank A/c (mention Bank Name)

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