Question

Received commission of10000 plus cgst sgst @6% each by cheque half of the account is an advance journal entry will be

Answer 1

Answer:

Being, commission received in cash and journal entry passed. As per golden rules of accounts, for nominal nature of accounts it states that, credit all expenses and for real nature of accounts it states that "debit what comes in" and "credit what goes out"

Under the cash basis of accounting, you should record a commission when you pay it, so there is a credit to the cash account and a debit to the commission expense account. You can classify the commission expense as part of the cost of goods sold, since it directly relates to the sale of goods or services