Question

what is the journal entry of machinary purchased amount 500000 by exchange of old machinary amount 450000 and balance paid in cash

Answer 1

Answer:

Machinary a/c  Dr   500000

   To old machine a/c      450000

    To cash a/c                   50000

Answer 2

Explanation:

=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=

Journal Entry

=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=×=

Machinery A/c .......Dr. 50,000

To Cash A/c 50,000

Note : No Journal Entry Be Passed For The Barter System (Rs.4,50,000)