01) Loading on Hire Purchase Price
Under Hire Purchase system, a firm sells goods on Cash basis as well as Hire Purchase basis. When the Cost price is also given than what should be the equation for loading?
Loading = Hire Purchase Price Less (-) Cash Sale
or
Loading = Hire Purchase Price Less (-) Cost of goods.
02) Goods repossed Account
When goods are repossed, than what are the provisions regarding Loading on the Opening Balance of Hire Purchase Stock and Op. Balance of Hire Purchase Debtors? How do we know whether goods repossed are from the current year's sale or from the Op. Balance of the Stock & Debtor's A/c if there is no comment?
03) When the goods are repossed from the Current year's sale than do we need to pass the loading entry on the goods repossed?
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