Goods in transit will arise in two circumstances

1. Purchase :(Bills received and paid but not goods(L/C))

Ans: 
     a. Dr.Purchase & Cr. to Bank (pymt made by bank)
     b. Dr.Goods in transit (BS) Cr. P/L.
     (entry on closing date)
     c. Dr. Inventory Cr. to Goods in Transit.(when 
     goods received)

2. Sales:(Goods on transit not received by buyer)

Ans: 
     a. Dr. Goods in transit cr. to Trading A/c  
     (adjustment entry on closing date (CA Dr P/L Cr)
     b. Dr. Customer Cr. Goods in Transit.(when 
     goods received by customer)

forgive me if im wrong..