Question

When branch assests acc kept in HO Which acc do HO will debot for depreciation

Answer 1

Answer:

Depreciation of Branch fixed assets is not shown in the Branch Account. However, the Branch Account is debited with the value of the fixed assets in the beginning of the accounting period and credited with the value of fixed assets at the end of the accounting period. Usually, accounts relating to fixed assets used by the branch are kept in the head office books even if the asset is originally paid for by the branch. If it is so, the entry on purchase of a fixed asset by a branch will be to debit Head Office and credit Cash.