Hire purchase journal

Client bought a van for £8225 inc vat [ie £7k net]- vat was 17.5%

deposit was £1000

total finance £7225. Client reclaimed vat correctly. Term of loan is 36 months

what is the journal required to bring the asset and HP liability into the accounts?/......thanks in advance everyone

Comments
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Interest-free HP?

Euan MacLennan |
Euan MacLennan's picture

sorry forgot to add that 36

newstarter |

If you have a supplier

emsabobs |

Disagree!

Richard Willis |
Richard Willis's picture

Sorry.....was my first ever answer

emsabobs |

agreed

uktaxpal |

A bit harsh Richard ...

Old Greying Accountant |
Old Greying Accountant's picture

Sorry OGA, I have to disagree with you too!

Richard Willis |
Richard Willis's picture

Oh

Richard Willis |
Richard Willis's picture

I defer to your knowledge Richard ...

Old Greying Accountant |
Old Greying Accountant's picture

Of course we can all make mistakes!

Richard Willis |
Richard Willis's picture

At least two right ways

neileg |

@Neileg

Richard Willis |
Richard Willis's picture

@Richard

neileg |