Identifying the GLs is the first and foremost step in recording any transaction. The GLs in the Purchase goods for Cash transactions are Goods GL and Cash GL. Its general practice to record all transactions relating to the inventory or stock of goods through any of the following … [Read more...] about Purchase Goods for Cash Journal entry
Accounting
Advertisement journal entry
Advertisement helps in marketing. Its a core indirect expenditure. What's the purpose of ads? Promote business and Maximize customer reach Thanks for the new digital era! The advertising medium has drastically changed these days due to digital marketing. This … [Read more...] about Advertisement journal entry
Bought Postage Stamps Journal Entry
Posts help communicate a message from one place to another and facilitate the delivery of goods. The charges for such service are levied in the form of Stamps. So, the Sender of Post needs to purchase Stamps depending on the Pin code and weight of the Postal Cover. The usage of … [Read more...] about Bought Postage Stamps Journal Entry
Withdrew Cash Journal entry
Cash withdrawal is a contra entry. Here, this JE involves Cash & Bank GL. Cash can be withdrawn for Office use orPersonal use Personal drawings is not for business. How about an example? Owner pays his rent with office cash. It doesn't facilitate business … [Read more...] about Withdrew Cash Journal entry
Old Newspaper Sold Journal Entry
Sale of Old Newspaper yields income. Its a non operating activity. So, it falls under other income. Why's is it part of other income? That's because those cash inflows do not primarily contribute to sustaining the business. In General, business entities subscribe … [Read more...] about Old Newspaper Sold Journal Entry
