Hi,
Gold purchased on Credit card & Payment to be made in 5 easy EMI's.
Under which category should i keep the GOLD purchased and how to account the EMI's everymonth.
Thanks.
Swapnil Jain
(Finance - FP&A)
(564 Points)
Replied 24 October 2011
Gold purchase is a asset and the net of EMI's you need to pay is your Liability.
As per your question it seems like you want to know the accounting entries?
if it is so, then for purchase
Gold a/c ....Dr
To cash (DP)...cr
To EMI Liability ... Cr
When you pay emi
EMI liability...Dr
To Cash
I hope i did not mis-interpret the question.
Comments and Suggestions are invited
martin
(Not applicable)
(24 Points)
Replied 24 October 2011
yes
swapnil jain you are right. That gold is our asset and EMI is our actual liability. Therefore i agree with your accounting entries........
m @ rt!n
Srinivas
(Student.)
(152 Points)
Replied 25 October 2011
thanks swapnil for the entries.I pay EMI's every month.But the gold is purchased on credit card.I need to change cash to CC in this entry..
Srinivas
(Student.)
(152 Points)
Replied 18 November 2011
My actual idea is know where to keep the GOLD purchased by proprietor for personal use in tally(Under which Head).
Gold(jewellery Purchased & used for personal use) Is not a fixed asset so the option is ruled out.
Investments i suppose,not sure...
can anbody tell me the proper head of account it should be placed in tally.
Ankit
(Accountant)
(29 Points)
Replied 20 December 2018
ram patil
(12 Points)
Replied 15 March 2019
Kapil Agarwal
(JOB)
(14 Points)
Replied 20 August 2022
company owner purchase gold for personal use worth 1,50,000.00 then what will be the entry in company books