When an enterprise purchases a vehicle, it is mainly for the convenience of employees on business trips. Generally, the funds for the purchase of vehicles are included in fixed assets, bank deposits and other accounts. How to make specific accounting entries?
Accounting entries for vehicles purchased by enterprises
(1) When purchasing a vehicle
Debit: fixed assets
Tax payable - VAT payable (input tax)
Credit: bank deposit, etc
(2) Pay insurance premium/service charge and other related fees
Debit: management expenses
Credit: bank deposit
(3) When depreciation is accrued
Debit: management expenses
Credit: accumulated depreciation
Accounting entries for vehicles sold by enterprises
1. The entry of fixed assets (automobiles) to be sold and transferred into fixed assets liquidation is:
Debit: disposal of fixed assets
Accumulated depreciation
Credit: fixed assets
2. When the fixed assets are actually sold, the entry is:
Debit: bank deposit
Credit: disposal of fixed assets
Tax payable - VAT payable - output tax
3. Carry forward the balance of fixed assets clearing account to asset disposal profit and loss:
Debit: disposal of fixed assets
Credit: asset disposal gains and losses
What are fixed assets?
Fixed assets refer to non monetary assets held by an enterprise for the purpose of producing products, providing labor services, leasing or operating management, which have been used for more than 12 months and have reached a certain value standard, including houses, buildings, machinery, machinery, means of transport and other equipment, appliances, tools, etc. related to production and operating activities. Fixed assets are not only the means of labor of enterprises, but also the main assets on which enterprises rely for production and operation.
What are the administrative expenses?
Administrative expenses refer to various expenses incurred by an enterprise for organizing and managing its production and operation. It includes organization expenses incurred during the preparation period of the enterprise, company funds, labor union funds, vehicle and vessel taxes, land use taxes, board fees, legal fees, business entertainment expenses, property taxes, stamp taxes, technology transfer fees, etc. incurred by the board of directors and administrative departments in the operation and management of the enterprise or should be borne by the enterprise.
How to make accounting entries when the company buys a car
Borrow when buying a car: fixed assets
Credit: bank deposit
No depreciation will be accrued in the month of purchase, but it will be accrued in the next month
Debit: management expenses
Credit: accumulated depreciation
The company's car purchase cost includes the purchase price (excluding tax price), vehicle purchase tax, related fees, etc. If it is an imported car, it also includes import tariff, which can be included in the original value of fixed assets. The annual vehicle and vessel use tax and insurance premium of the vehicle shall be included in the management expenses.
1. When a company purchases a car, it should be included in the "fixed assets" account.
2. When the company purchases a car, the amount recorded includes vehicle purchase fees and various surcharges.
3. The accounting entries of the company when purchasing vehicles are:
Debit: fixed assets
Credit: bank deposit
4. If the company purchases a car with arrears, the accounting entry is:
Debit: fixed assets
Credit: other payables -- XX car sales unit
Extended data:
The bookkeeping voucher requires complete elements and strict review and preparation procedures, while the accounting entry only indicates the subject and amount of borrowing and lending in the bookkeeping voucher, which is the most simplified form of the bookkeeping voucher.
Format:
First: It should be first to borrow and then to lend. The debit and credit branches should have the debit first and the credit second;
Second, the credit bookkeeping symbol, account, and amount are all one space behind the debit, indicating that the debit is on the left and the credit is on the right.
There are two types of accounting entries: simple entry and compound entry. The simple entry is an entry with one debit and one credit; Compound entries are one debit and multiple credit entries, multi debit and multi credit entries, and multi debit and multi credit entries.
In actual work, accounting entries are realized by filling in bookkeeping vouchers, which is an important link to ensure correct and reliable accounting records. In accounting, no matter what kind of economic business occurs, it is necessary to determine the accounting entries of economic business by filling in bookkeeping vouchers according to the bookkeeping rules before registering accounts, so that account records and post inspection can be performed correctly.
How to make accounting entries for purchased vehicles
The method of accounting entry for vehicles purchased: debit: fixed assets, credit: bank deposits/other payables - vehicle sales enterprises.
If an enterprise purchases a car by paying directly, then accounting entries are the simplest. You can directly debit "fixed assets" and credit "bank deposits" or other related subjects. However, if an enterprise purchases a car with arrears, which is what we call credit, the accounting entry is Debit: Fixed Assets. Credit: other payables - car sales enterprises.
Because insurance premium and other related expenses are not included in fixed assets, but in period expenses, the accounting entry is: debit: management expenses. Credit: bank deposit. Then because the car purchased in the name of the enterprise is a fixed asset, it needs to accrue depreciation: Debit: management expenses (or other related subjects) Credit: accumulated depreciation.
The purchase of automobiles, that is, purchased fixed assets, shall be based on the purchase price, relevant taxes paid and other expenses directly attributable to making the assets reach the intended use, including the purchase price, relevant taxes, transportation fees, handling fees Installation fee and professional service fee, etc. That is, all expenditures incurred before the asset reaches the expected serviceable condition are taken as the entry value.
