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what is goods in transit and how to pass an entry
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Answer Posted / manish
Goods-in-Trasit means Material has been despatched by
Supplier but not received by us this entry is important when
book to be closed on 31st, March
A when Goods in Transit (Matching Concept)
Goods-in -Transit A/c --------Dr. (Current Assets)
To Party A/c --------- Cr. (Sundry Creditor)
B) When Goods Received
Purchased A/c__________Dr.
To Goods-in-Transit A/c--------- Cr.
| Is This Answer Correct ? | 235 Yes | 31 No |
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