Transaction Is Giving Something And Getting Something In Return This Is A Method Followed By The Old accoting, But in modern times five types of benefit transfer transactions are followed in accounting
|Purchased $2000 worth of goods from Gk store by paying cash. (01/04/2024)
|indirect material were purchased from jk tools $1200 (11/04/2024)
|jk tools was paid $1200
|$800 was transferred from the profit account to the revenu reserve account
♜ If The Business And Others (Customer Or Supplier) Receive The Benefit On The Same Day It Is A Cash transaction
In this benefit transaction the borrower of a benefit repays the benefit to the lender in exchange for that benefit.
You may have doubts as to why this transaction should be differentiated from a credit transaction.
All other transactions are initial transactions but this is a continuous transaction So if you understand that this is a separate transaction, you will not have to prepare a separate ledger account for this when preparing the journal account, you will be reminded that you have to adjust this to the ledger account already prepared for the credit transaction.
Otherwise, it is the same Steps for credit transactions and Credit rePayment Transaction.
A detailed description of the adjustment is given on the Adjustment page ♛
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