Journal Entries

Please suggest me the entry of following transaction

I Purchase 10 Silver Coin from a party and then after i make a contract with another party to put god Statue on the coins.

Replies (4)

(1)gold coin investment a/c/SuppliesA/c Dr    To Jeweller/Cash A/c

(2)God Statue ChargesDr               To  Creditor/CashA/c

(3) gold coin investment/Supplies A/c Dr         To God Statue Charges A/c

Siver coins a/c Dr                to Cash A/c or Supplier A/C 

Statue A/c  Dr                        to Cash or Creditor A/c

Statue A/c  Dr                         to Siver coins a/c

 

Siver coins a/c Dr  

                to

     Cash A/c or Supplier A/C 

Statue A/c  Dr                        to Cash or Creditor A/c

Statue A/c  Dr                         to Siver coins a/c

 

Tarun is correct because you need to capitalise the statue charges

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