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    devihappy's Avatar
    devihappy Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Oct 25, 2013, 02:21 AM
    Journal entires
    our concern purchase second hand cycle for rs. 1500

    I have pass journal entry
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
    Ultra Member
    		  
    #2

    Oct 25, 2013, 05:23 AM
    It depends on what the purchase is for.

    If it is going to be used by the business: Debit a PP&E account and Credit Cash for the amount paid.

    If you are purchasing it for resale: Debit Merchandise Inventory and Credit Cash for the amount paid.
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