Purchase And Sale of Machinery And Plant Journal Entries In Accounting
Purchase of Machinery And Plant Journal Entries | Sale of Machinery And Plant Journal Entries The journal entries related to purchase and sale of machinery and plant, which is a Fixed Asset / N on Current Asset depend upon whether the plant & machinery purchased and sold for business use or for resale purposes. If the machinery and plant is used for business use, then we record purchase and sale journal entries accordingly and if it is not purchased and sold for business use but for resale purposes, then we record the entries accordingly. 1. When Plant & Machinery Purchased & Sold For B usiness Use In that case, we debit Machinery & Plant Account and credit cash account if these sold for cash. The entry is shown below: Machinery & Plant a/c XXX ...