Question

A textile mill buys yarn for making cloth for rs20000 and pays GST@4%

Answer 1

Purchases A/C. Dr. Rs 20,000

Input CGST A/C Dr. Rs.800

Input SGST A/C. Dr. Rs.800

To Cash A/C or Bank A/C. Rs.21,600

(Being cloth purchased)

Answer 2

Hey Mate ✌️✌️


Journal Entry ⏬⏬⏬⏬


Purchase A/c........................................Dr..20000
Input CGST A/c.......................................Dr..800
Input SGST A/c.......................................Dr..800
.....................To cash A/c.....21600


✨ Hope this helps you ✨