profarma of letter of credit
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Answer / avi
Letter of credit generally the shortform is used "LC" LC
means businessman can buy the product on credit from the
manufacturer by opening lc from bank & payment directly
paid to the manufacturer by bank against the bill. & bank
will charge interest on businessment. proferma of letter of
credit shows 1. date 2. no. 3. Party name 4 Particulars of
goods 5 Qty. of goods 6 Value of goods 7. Credit days 8.
rate of interest 8. due date.9. acceptance from goods
receiver. mentioned by the lc issuer.
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Answer / giridhar
Proforma Invoice / Letter is nothing but the copy of
previous invoice raised same kind of goods. It happens when
a customer ask for a quotation then the vendor provide
proforma Invoice for getting a purchase order/s.
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Raj & Raj Ltd purchased a machinery on 01.01.1996 for Rs.88,000.The life of the machine estimated to be 5 Yrs.It was calculated that the old machinery would fetch Rs.8000 at the end of its useful life.it was decided to replace the machinery at the end of the 5th year by setting up depreciation fund and invest the annual depreciation (along with interest earned each year) in gilt edged securities carrying interest at 5% p.a. At the end of the 5th Year the securities were sold for Rs.9000.As per the sinking fund table Rs.14,478 is to be invested every year.A new machine was purchased on 01.01.2001 for Rs.1,00,000.pass the journal entries and show the ledger accounts
PURCHASE LABOUR CHARGE FROM R.K.DAS RS.6950AND TDSAPPLICABLE -
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