Question

Purchased new machinery from M/s Machine Makers in credit RS. 5,000 , paid installation charges RS.300 , freight rs. 200. Pass journal entry.

Answer 1

Explanation:

Machinery A/c Dr 5500

To bank A/c 5000

To Bank A/c 300

( installation)

To Bank A/c 200

( freight)

Answer 2

Explanation:

purchase account debit 5000

TO MS machinery maker 5000

fixed asset account debit 300

TO cash account 300

freight account debit 200

TO cash account 200