journal entry for purchased computer and donated............25000
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Explanation:
here , there is no income gained but we are losing money so it should be recorded in the books of accounts.
the entry would be:
charity/donation a/c. Dr.
............ To cash a/c.
this is because we made a purchase but not for the institution but for charity and the only thing that the business knows is that its cash decreased because of some donation ..
hope it helps
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