How to pass entries in petty contractor account

Dear Sir,

We are in construction work, we are engaged with a petty contractor for electrical fitting work with material for Rs. 5,00,000/-  total contract value, out of 5,00,000/- we purchased on the behalf of petty contractor for material Rs. 3,00,000/- which is paid to supplier directly and the bill raised by supplier on behalf of us. Now we paid to the petty contractor  rest amount 2,00,000/-. How to pass the entries in our book including purchase entries from supplier.

Please help us, thanks

 

Replies (2)

1. Stock of Spares Dr   3 lacs

        To Supplier           3 lacs

2. Supplier Dr      3 lacs

       To Bank A/c

3.    Petty Contractor Dr   3 lacs

                To Stock of Spares 

4.    Petty Contractor Dr  2 lacs

           Bank A/c

5.   Repair & Maint.(Electrical) Dr 5 lacs

          Petty Contractor

Thanks Sir

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