Branch entry

Let's assume that Stationery purchase to Ram Enterprises in branch & H.O. paid the bill of Rs. 5,000/-

Entry will be in branch books:

Stationery A/C ............... Dr. 5,000/-

Ram Enterprises A/C .................. Cr. 5,000/-

Then second journal entry will be as follows.

Ram Enterprises A/C ............... Dr. 5,000/-

H. O. ......................... Cr. 5,000/- 

Entry will be in H.O. books:

Branch A/C ............... Dr. 5,000/-

Ram Enterprises A/C........................ Cr. 5,000/- 

Then second journal entry will be as follows.

Ram Enterprises A/C ............... Dr. 5,000/-

Bank A/C ......................... Cr. 5,000/-