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how would be affected the B/L and P/L purchasing OF BRAND
NEW Motor vehicle
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Answer / mahesh
ASSETS WILL INCREASE IN BALANCE SHEET
DEPRECATION WILL BE CHARGED IN P/L ACCOUNTANT DEBIT SIDE
| Is This Answer Correct ? | 3 Yes | 0 No |
Answer / ravi.harjai2009@gmail.com
There are two way answer of this quation......
first----if a brand new car purchased for the personal use
i.e.(drawing)....
so there is no effecte on p&l account because it is
relatated with personl expense and in balance sheet,it is
less from the capital account...
Second----when it is purchase for business only so at time
of year ended deprecation will shown in p&l account and in
balance sheet assets willbe shown......
| Is This Answer Correct ? | 3 Yes | 0 No |
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