Accountancy, asked by rpvvln, 1 year ago

Journal entry for receive advance income

Answers

Answered by harshita8714

cash A/C. Dr.
To unearned income A/c

rpvvln: Its wrong

harshita8714: then tell the right

rpvvln: Answer is income a/c dr to advance income a/c ☺

harshita8714: then what about the cash that u have recieved ..

rpvvln: Advance not a accured

harshita8714: fine

Answered by Anonymous

At the time of receipt :

Cash A/C Dr Rs.xxx

To Income Rs.xx

(being advance received)

At the time of preparation of Final Accounts:

Income A/C Dr Rs.xxx

To Advance Income A/C Rs.xxx

(being Advance Income is a liability and should be reduced from the Income A/C)

harshita8714: it means both were wrong

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