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Receipt entry

A/c entries 766 views 2 replies

Hi Good Evening to All,

One of My friend ask this question and He is working in IT Industry:-

If any Candidate join the IT Industry they have to sign the One Year Agreement Paper or Bond.  In that bond  includes if candidate absconded or if he leaving the company before completing the one year, he has to pay the One lakh penalty or Training charges. Suppose if one candidate  left the compnay before the completing the one year and he is ready to pay the traning charges or penalty amount. So My question is  how we can show this in accounts and also in Tally (Ledger A/c).

Awaiting for your valuable replies......................

Replies (2)

The same can be credited to Notice Pay/ Salary a/c with debit to Bank a/c

Debit Bank A/c

Credit Training Charges A/c


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