how we will account the preliminary expenses in journal and
ledger as well as balance sheet?
Answer Posted / raja umar
General entry for preliminary expense is as under:
1.
Preliminary expenses (Dr) 1000
Cash/Bank (cr) 1000
When you write off
Expenses written off Dr (indirect exp) 500
Preliminary Expenses Cr. 500
Now at the end of year for full adjustments:
Profit & loss Dr. 500 (balance amount which is left)
Preliminary expenses Cr. 500
there are three entries which are to be passed to adjust the
preliminary expenses.
Is This Answer Correct ? | 27 Yes | 6 No |
Post New Answer View All Answers
why i want to join Hawkins company
What is budget variance analysis?
journal entry for goods withdrawn for personal use
Revenue Expenditure
What is the Project Accounting in case of Real Estate or Construction Co`s ?
What is process of Vendor Reconciliation and which items will be Add and Less from ad per customer books likes step by step 1-Credit Note shown in vendor a/c but not booked in our a/c- Add or Less 2-Debit Note not shown in vendor a/c but booked in our a/c - Add or Less 3-Invoices not booked in our a/c but shown in vendor a/c- Add or Less 4-Payment booked in our books but not shown vendor- Add or Less If our balance is plus or minus rules is same. like 20000, (-20000) Sir, Provide your mobile n for clarify
Recent banking question for 2015 interview for scale2 exam of sbm
What are the accounting entries for branch accounts?
How do we calculate the cost of investment?
hai everone,can anyone send me the accounting ,finance,general interview questions for mba freshers plz.....urjent
Tell us what do you believe should be an important quality of an account executive?
x pay incentive to y with tds@10%.what is the journal entry in the books of x & y?
what are the limitations of accounting conventions
What is the difference between depreciation and amortization?
What is the definition of accounting?