Basic Bookkeeping Treatment or Double Entry of Goodwill

Tweet Basic bookkeeping or double entry for taking up or writing off goodwill in the books of account of a business:When goodwill is ACQUIRED: Debit      Goodwill Account Credit     Capital Account When goodwill is WRITTEN OFF: Debit      Profit or loss or Capital Account Credit    Goodwill Account When will we need to value or evaluate goodwill? As […]

Explain what is a dishonored cheque and how it is being treated in the books of account?

Tweet Explain what is a dishonored cheque and how it is being treated in the books of account? Suggested Answer: Dishonored Cheque is a cheque which is presented for payment and the drawer has insufficient fund in his or her account to cover the cheque which will then be returned to the payee marked “ […]