Question

Mention the journal entries in the books of buyer as well as the seller when goods are sold on the hire purchase system.
15 mark question​

Answer 1

• The hire-vendor values the goods received and credits the account of the hire-purchaser, transferring any balance in the account of the hire-purchaser to Profit and Loss Account. The value of the goods received is debited to Goods Repossessed Account. To this is debited any expense incurred to recondition the goods.

Answer 2

hope this will help you buddy