A holding co. purchases some machinery from its subs. on hire-purchase basis...
While consolidation, Installments due by it and not due are all adjusted to the creditors of the subsidary...
Instal. due are adj to the debtors of the hold. co.
Where are the installments not due to be adjusted in the holding co.'s accounts.......is it made to the stock or to the machinery a/c..?
Also will it be fair/correct to record the machinery purchased to Stock a/c first and later on complete payment of installments transfer it to Machinery a/c..?
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