07 August 2010
my employer have book a nano car for rs.4000/- in april 2009
he got the loan from bank rs.140000/- out of total value is rs.214000
the emi started from april 2009 of rs.3000/- for above loan
he got the deliver of car in july 2010 by making the payment of balance rs.70000
so what will be journal entry for the astt year 2010-11 & 2011 -12 balance sheet as he had book the car & loan start from 2010-11 and get the poseesion in 2011-12
07 August 2010
AY 2010-11 Dr Advance for Car Cr. Cash / Bank Rs. 4,000 Dr. Advance for Car Cr. Bank Loan Rs.140,000 Dr. Bank Loan, Dr. Interest, Cr. Cash / Bank Rs. 3000
AY 2011-12 Dr. Bank Loan, Dr. Interest, Cr. Cash / Bank Rs. 3000 per month Dr. Car (asset) Cr. Cash / Bank Rs. 70,000 Cr. Advance for Car Rs.144,000 Dr. Depreciation Cr. Car (Asset) relevant value
CAclubindia
