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What Is the general Journal Entry to Record investment car in the business?
Wiki User
∙ 11y ago
In accordance with International Financial Reporting Standards (IFRS) investement property is, in short, property held for capital appreciation or rental income. In accordance with this standard the property is initially measured at cost and subsequently at fair value, remeasured through profit and loss (I have assumed that you have not taken the election to measure the vehicle under the cost model). The journal entry would therfore be
Dr Inverstement Car
Cr Bank/Accounts Payable
Subsequent changes to the fair value are measured through Profit and Loss being:
Dr Fair Value Loss (P/L)
Cr Investement Car
Loss on Fair Value adjustment for a decrease
Or:
Dr Investement Car
Cr Fair Value Income
Gain on fair value adjustment increase in value
This is in contrast to any other asset held as Property, Plant and Equipment as, most noticably, the asset is not depreciated (assumed elected fair value model elected) and any increases in value are not recognised in Other Comprihensive Income but in Profit and Loss.
Wiki User
∙ 11y ago
Wiki User
∙ 9y agodebit car
credit capital
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What is the accounting journal entry to record the purchase price of a business?
The accounting journal entry to record the purchase price of a business is debit. The debit will decrease the assets reflecting the purchase price.
Do you only record credit transactions in general journal?
we can also record cash transactions too
What is a receipt journal?
cash receipt journal is used to record money received by the business during calendar month as previously mentioned ,when money is received by the business for capital
What is a cash receipt journal?
cash receipt journal is used to record money received by the business during calendar month as previously mentioned ,when money is received by the business for capital
What is the journal entry to record the unrealized loss on donated stock?
Dr. Unrealized loss on investment in Company B (P&L) Cr. Investment in Company B (B/S)
What is the General journal entry to record investment?
debit investment accountcredit cash / bank
Is tax a asset or expense and how do I record it in the General journal or balance sheet-?
Tax is an expense, you do not record it in a balance sheet but on the general journal.
What is the purpose of journal entry?
A journal records what you're findings are
In bookkeeping, what is the record of original entry?
The General Journal
Why you post journal entry?
Journal entry is the basic transaction to record the business transaction and without journal entry no record can be maintained.
Why do you need to do journal entry?
Journal entry is required to record business transaction in books of accounts and without journal entry no business transaction can be recorded in books.
If a company gives a director a loan of 15000 how do I record a general journal entry?
If a company gives a director a loam of 15000 you will record it on the debit section of the general journal entry.
What is the journal entry to record earn-out to seller?
Dr Investment Cr Provision for contingent consideration
What is Journal phase of accounting?
Journal phase of accounting is to journalize the business transaction in Journal as a first record in books of accounts.
What is the accounting journal entry to record the purchase price of a business?
The accounting journal entry to record the purchase price of a business is debit. The debit will decrease the assets reflecting the purchase price.
Is tax a asset or expense and how do I record it in the General journal or balance sheet?
Tax should be recorded in the general journal because it is an expense.
What record that contains all accounts of company?
general ledger, general journal, special ledger, special journal, column balance ledger.
