Gold Purchase entry

A/c entries 2847 views 1 replies

Hello
I am doing a personal account of my client.
She has invested in purchasing jewelly in installments.
Every month she pays some amount to that concern.
After 11 months are over, on the 12th month full and final purchase will be done at the gold rates prevailing at that point of time. 

She may have to give some amount at 12th month as gold rates may increase that time.

How to do the entry in tally for this? Payment is done through bank.

Secondly this jewellery will be gifted to her son/daughter as the case may be in future. What will be the entry for this?

Plz help.

Replies (1)
Purchasing of gold:

sir, here you create a current asset till the last installment completed on the name of jewellery shop. After completing final installment pass a journal entry for purchase of jewellery.

jewellery gift:

pass jurnal entry as

daughter a/c dr.
( under head drawings)
to jewellery a/c


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