Question

brokerage paid for the purchase of shares is debited to which a/c. (a)shares (b)cash (c) purchase (d) brokerage...I need the answer urgently​

Answer 1

Answer:

good morning I am not able but could you send you

Answer 2

Answer:

• Option a) is the correct option
• Buyer prospective (books of buyer)
• Seller prospective (books of sellers)
• Entires are mentioned below

Explanation:

Buyer prospective

i) Shares(company) a/c. dr

To BANK a/c

ii) Brokerage a/c. dr

To BANK a/c

(Here you can also debit p&l a/c)

Seller prospective

remember one thing here 2 parties involved one is broker and one is company,

Company

Bank a/c Dr

To SHARE CAPITAL a/c

Broker

Bank a/c Dr

To sales a/c

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