Solve......accounts........

CPT 1048 views 3 replies
User Avatar

IPCC
475 Points Joined June 2012

wages paid for erection of machinery is debited to..........A/c

a) Machinery                b) Wages

c) Cash                         d) None of these

Please explain in detail.........??

0 Reply Share Follow
On 24 July 2012 at 00:24 Report
Replies (3)
User Avatar

Article Trainee.
613 Points Joined July 2012
Debited to Machinary a/c.. As wages paid for erection.. Capital expenditure..
Reply
On 24 July 2012 at 00:45
User Avatar

IPCC
475 Points Joined June 2012
Originally posted by : Devesh
Debited to Machinary a/c.. As wages paid for erection.. Capital expenditure..

thanx.....bro........!!

Reply
On 24 July 2012 at 01:10
User Avatar

IPCC STUDENT
47 Points Joined August 2009

wages paid to errection of  machinery is a capital expenditure.because wages incuured to install the machine in factory.but wages paid after the installation of machinery is revenue expenditure. so machinery a/c dr - to cash a/c. i hope u got the answer

1 Reply
On 24 July 2012 at 10:57


CCI Pro

Leave a Reply

Post Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Recent Threads

More recent discussions | Post