if lease of a car is given by A to B for 1 financial year,what treatment of car will be done in books of A?
if lease of a car is given by A to B for 1 financial year,what treatment of car will be done in books of A?
In the books of A, Lease Rental will be treated as income and in the books of B lease rental will be treated as expense.
In the books of A, it is Cash/Bank a/c Dr. and Lease Rental Cr. In the books of B, lease rental Dr. and Cash/Bank a/c Dr.
To be precise, it is an operating lease we may conclude
thanks
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
View Details
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
View Details
CAclubindia
