Rental business
This query is : Resolved
22 June 2014
I have a rental business of 50 trucks.i get income by giving sales invoice to parties.but there is no purchase invoice in my tally. so nothing is in my purchase side. i am entering fuel and maintenance cost under direct expenses.so how i calculate profit of my business.please help.
22 June 2014
these 50 trucks are entered as fixed assets.some trucks are in loan which i am paying EMI for that.
22 June 2014
YOu can charge interest on finance, depreciation, salary of driver, repair & maintenance, fuel as direct expenses.
22 June 2014
only direct expense will come under these type of business?
22 June 2014
No
all other business expenses can be booked.
all other business expenses can be booked.
22 June 2014
if you take service of other fleet owner, then you can book it as purchase
22 June 2014
then no purchase a/c
22 June 2014
same for sewage accounts na? only collect sewage from parties and dump in one place.we are giving sale bill for sewage collection/ per trip.so no purchase bill.
23 June 2014
yes ................................
23 June 2014
you have truck and giving on the rent to party . you are giving the salary to driver and helper of driver, fuel, commercial tax, road tax , insurance of vehicle, repair , accidental repair, tyre, tube repair. body repair exp of turck and depreciation on the value of truck.
after above exp you calculate your profit.
after above exp you calculate your profit.
24 June 2014
also i have some trucks having loan. am i am paying emi for that.how can it accounts.
now i put it in vehicle loan accounts(Loans & LIability). and from that i deduct EMI as payment to banks.is this is the correct way?
now i put it in vehicle loan accounts(Loans & LIability). and from that i deduct EMI as payment to banks.is this is the correct way?
24 June 2014
i put closing balance on 31-03-2014 as per the loan statement as the opening balance of vehicle loan on 01-4-2014. And deducting the emi to banks as payment entry.
25 June 2014
charge payment of principal to loan a/c and interest to p&L a/c. 31.03 balance and 01/04 is same thing
25 June 2014
1.Assumed that you are paying Rs.1,00,000/-as EMI and say it is Rs.75,000/- as principal amount and Rs.25,000/- towards interest
2.The entry as follows:-
Vehilce Loan a/c Dr 75,000
Interest on Vehicle loan a/c Dr 25,000
To Bank a/c 1,00,000
I hope this is in line with your requirement
2.The entry as follows:-
Vehilce Loan a/c Dr 75,000
Interest on Vehicle loan a/c Dr 25,000
To Bank a/c 1,00,000
I hope this is in line with your requirement
26 June 2014
agree with sanjeev
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