Menu
Journal entries for payment received in advance
Suppose, I deal in furniture, and received an order from ABC for supply of furniture for 10000 on 1st May, along with advance of 4000 in cash on that date. I supplied furniture on 5th May and raised a bill on ABC for rest amount. ABC paid me balance amount of 6000 on 10th May. How will I journalise all these transactions in my books of account?
Replies (2)
On 1st May
Cash Dr 4000
ABC Co. Cr 4000
5th May
ABC Dr 10000
Sales Cr 10000
10th May
Cash Dr 6000
ABC Cr 6000
Cash Dr 4000
ABC Co. Cr 4000
5th May
ABC Dr 10000
Sales Cr 10000
10th May
Cash Dr 6000
ABC Cr 6000
for advance received below entry to be posted
cash Dr. 4000
To Advance Received. 4000
at the time of raising final bill
Cash Dr. 6000
Advance Rec'd 4000
To. Sales. 10000
cash Dr. 4000
To Advance Received. 4000
at the time of raising final bill
Cash Dr. 6000
Advance Rec'd 4000
To. Sales. 10000
Recent Threads
- GSTR 2B ( MULTIPLE MONTHS )
- Eway bill generation for export material.
- International Tax clarification UK.
- E way bill expired penalty
- Best SME Focused AIF Funds in India for High Growt
- How does employee management software help in stat
- Clarification Required – Section 18 of Wage
- How to split freelance project income with a frien
- 194a for A y 2024-25
- Compensation & Benefits
Related Threads
CAclubindia
