In following transaction a company made net profit of 10,000 where Mr.A, Mr.B & Mr.C had the share ownership of 50%, 25% & 25% recpectively
Accounting voucher I’ve passed in Tally:
No. 1 (Journal Entry)
P/L A/c Dr 10,000
Retained Earnings Cr 10,000
No. 2 (Journal Entry)
Retained Earnings Dr 1,000
Dividend Cr 1,000
No.3 (Journal Entry)
Dividend Dr 1,000
Mr. A Cr 500
Mr. B Cr 250
Mr. C Cr. 250
No.4 (Payment Voucher)
Bank A/c Cr 1,000
Mr.A Dr 500
Mr.B Dr 250
Mr.C Dr 250
Note: Mr.A. Mr.B & Mr.C ledger are created under current liability group while Rerained Earnings and Dividend ledger is created under Capital account group and Bank A/c ledger is created under current asset Group.
So the question is whether the Accounting Vouchers passed by me is right or wrong?