Banking and Finance Blog
In this article we will provide the information about Journal Entries for TDS. Tax Deducted at Source, is a crucial concept in taxation. When tax is deducted from an individual’s income and deposited into the Government’s account, accounting entries are necessary. Let’s illustrate this with an example involving ABC Company and Mr. N Person in the … Read more
“Understanding depreciation in accounting becomes easier when you explore practical journal entry examples. Depreciation represents the reduction in the value of a fixed asset over time. The fundamental journal entry for depreciation involves debiting the Depreciation Account and crediting the specific Fixed Asset Account. Here are various journal entry examples illustrating different scenarios related … Read more
Prepaid expenses refer to payments made in advance for services not yet received from the service provider. For instance, imagine you’ve paid one month’s rent in advance for your business shop, but you haven’t used the space for the full 30 days. This upfront payment is considered a prepaid expense. Properly recording prepaid expenses is … Read more
In this article we will provide the information related to the Journal Entries for Outstanding Expenses. The journal entries for outstanding expenses remain consistent with those explained for accrued expenses. The distinction primarily lies in the nomenclature, with Indian accountants referring to them as outstanding expenses, while the term accrued expenses is more prevalent in … Read more
In this article we will provide the information related to the Journal Entries for Bad Debts. Bad debts refer to money that we are unable to collect from debtors. Sometimes, companies extend credit to our debtors by providing them with goods or money. These debtors are supposed to repay the amount they owe, but when … Read more
In this article we will provide the information related to the how to pass the Journal Entries for Lease. A lease agreement involves a contractual arrangement between a lessee (the user) and a lessor (the owner of the asset). The lessee pays money to the lessor for the right to use the asset. All the … Read more
In this article we will provide the information related to the how to pass journal entries for credit card. Understanding credit cards is essential to grasp the journal entries related to them. Credit cards are widely used for payments in the USA, European countries, and are gaining popularity in India. They serve as a means … Read more
In this article we will provide the information related to the Journal Entry for Loan. Recording loans, whether given or taken, is crucial for proper bookkeeping. Given loans are considered assets, while taken loans are liabilities. Additionally, interest calculations are based on the outstanding loan balance, and these interest payments are made by the borrower … Read more
In this article we will provide the information related to the Journal Entries for Stolen Inventory. When a company faces the unfortunate event of stolen inventory, it’s vital to record this loss properly in their books. Stolen inventory can happen at any stage of the business process, from production to sales. Here, we’ll break down … Read more
In this article we will provide the information related to the Journal Entries for purchasing shares. When you purchase shares and incur brokerage and other expenses, it’s important to accurately record these transactions in your financial records. Here are the simple journal entries for these actions: WHEN YOU BUY SHARES Investment in Shares … Read more