How to post an entry when a supplier has waived our debt

Dear CA Club Friends

 

Please guide me how to post an entry in tally in our account books , when our supplier has waived our debt in his account .

problem 2: how to post an entry when profit is taken by partner of a trading company and when one partner leaves the company?

 

I hope you will answer my quiestion.

Regards

Rahaman Khan

Replies (3)

You will need to credit Discount Received Account & debit supplier account..

When profit is transferred to partners capital account.  Debit P&L Appropriation A/c & Credit Partner's capital account.

 

Creditors waiver.

Party Name A/c              Dr

            To Liabilities written Back A/c (Income)     

Profit drawings

P&L appropriation A/c     Dr

    To Retiring Partners Capital A/c

 

Instead of liability written back, discount received is appropriate account.

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