Question

04. Two machinery is purchased for Rs 60,000 and 45,000 respectively, first one
is purchased for resale purpose and another one is for production purpose. Pass
journal entries.​

Answer 1

Explanation:

purchases a/c dr 60000

To cash a/c 60000

( Being goods purchased )

since the machinery is purchased for resale purpose it is to be treated as good.

Machinery a/ c dr 45000

To cash a/c 45000

( Being machinery purchased)

Hope this is helpful