8/12/2019 FA C08 Receivables and Liabilities - Practical Example

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Addendum to Course 8-11Practical example on receivables and liabilities

1. A company is set up with a social capital of 10.000 lei, fromwhich land 3.000 lei, Commodities 2.000 lei, Motor vehicles4.000 lei, Petty cash 600 lei, Cash at Bank 400 lei.

2. The payment of the contribution to the subscribed social capitalis recorded.

3. The decision of AGA regarding the decrease of the social capitalwith 1.000 lei is recorded.

4. The necessary sum is acquitted from the bank 1.000 lei.

GENERAL JOURNAL

No

EcOp

No

AccOp

Explanation CorrespondingAccounts

SUMS

D C

1 1 The set up of acompany

456 = 1011Capital reimburs. Subscribed and not

paid

10.000 10.000

2 2 Social capitalcontribution

% = 456 Capital reimburs.

2111 Lands

371 Commodities

2133Motor vehicles

5311 Petty cash in lei

5121 Cash at bank in lei

3.000

2.000

4.000600

400

10.000

2 3 The transfer of thesocial capital

1011 = 1012Subscribed and not paid in cap.

Subscribed and paid in capital

10.000 10.000

3 4 Decrease of socialcapital

1012 = 456Subscribed and paid in c. Capital

reimbursement

1.000 1.000

4 5 Payment of social

capital

456 = 5121Capital reimburs Cash at bank in lei

1.000 1.000

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Practical example- commercial1. A land is acquisitioned from a juridical person, with a value of 600 lei, and

the value of the land is acquitted by bank.2. A land is sold with 600 lei, the payment is made by bank. The historic

value of the land is 500 lei.

3. Entity purchases a computer with a value of 2.000 lei, VAT 19%.4. A computers producer sell a computer with a value of 2.000 lei, VAT 19%,

the production cost is 1.800 lei.

5. A motor vehicle is sold by a transport company, selling price 3.000 lei,VAT 19%, depreciation 200 lei, the counter value is collected through banktransfer, historical cost 2.500 lei.

6. A motor vehicle is buy for 3.000 lei, VAT 19%. The life period is estimatedat 3 years. The straight method is use for depreciation.

7. An advance payment from the customers is collected in sum of 500 lei.

8. An advance is paid to the row materials supplier, in sum of 500 lei, fromthe bank account.

9. An advance payment is acquitted to a truck supplier from the bankaccount, in sum of 3.000 lei.

10. The truck producer collect an advance from a client 3.000 lei

GENERAL JOURNAL

No

Ec

Op

No

Ac

cOp

Explanation CorrespondingAccounts

SUMS

D C

1 1 Land acquisition 2111 = 404Lands Suppliers of noncurent

600 600

1 2 Land payment 404 = 5121Suppliers of noncurent Cash at bank in lei

600 600

2 1 Land selling 461 = 7583 600 600

2 2 Discharging the land 6583 = 2111 500 500

2 3 The land value 5121 = 461 600 600

1. A land is acquisitioned from a juridical person, with a value of 600 lei,and the value of the land is acquitted by bank.2. A land is sold with 600 lei, the payment is made by bank. The historicvalue of the land is 500 lei.

8/12/2019 FA C08 Receivables and Liabilities - Practical Example

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GENERAL JOURNAL

NoEc

Op

NoAc

c

Op

Explanation CorrespondingAccounts

SUMS

D C

3 1 The computer

purchases

% = 404 Suppliers of non.

2132 Measurement, control and ...

4426 Input VAT

2.000

380

2.380

4 1 Selling the computer 411 = %

701

4427

2.380

2.000

380

4 2 Discharging thecomputer

345 = 711 1.800 1.800

3. Entity purchases a computer with a value of 2.000 lei, VAT 19%.4. A computers producer sell a computer with a value of 2.000 lei, VAT

19%, the production cost is 1.800 lei.

5. A motor vehicle is sold by a transport company, selling price 3.000 lei,VAT 19%, depreciation 200 lei, the counter value is collected throughbank transfer, historical cost 2.500 lei.6. A motor vehicle is buy for 3.000 lei, VAT 19%. The life period isestimated at 3 years. The straight method is use for depreciation.

GENERAL JOURNAL

No

EcOp

No

AcOp

Explanation CorrespondingAccounts

SUMS

D C

5 1 Selling the motor

vehicle

461 = % .

7583.

4427

3.000

570

3.570

5 2 Discharghing themotor

% = 213

281

6583

200

2.300

2.500

5 3 Receivablescollected

5121 = 461 3.570 3.570

6 1 Motor vehicleacquisition

% = 404

213

4426

3.000

570

3.570

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7. An advance payment from the customers is collected in sum of500 lei.8. An advance is paid to the row materials supplier, in sum of 500lei, from the bank account.9. An advance payment is acquitted to a truck supplier from thebank account, in sum of 3.000 lei.10. The truck producer collect an advance from a client 3.000 lei

7 1 Advance paymentcollected

5121 = 419Cash at bank in lei Advance

payments

500 500

8 1 Advance payment

acquitted

4091 = 5121Suppliers - debtors Cash at bank in lei

500 500

9 1 Advance paymentacquitted

232 = 5121 3.000 3.000

10 1 Advance paymentcollected

5121= 419 3.000 3.000

11.The invoice to a supplier is acquitted as follows: 100 lei from thebank account, 1.300 lei from a long term bank loan, and for thedifference the supplier accepts a bill of exchange.

12.The entity purchases raw materials evaluated at acquisition cost of1.000 lei, VAT 19%.

13.The invoice related to the raw material acquisition is acquitted asfollows: 300 lei through the regularization of the advance paymentmade to the supplier, 890 lei through a bill of exchange.

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GENERAL JOURNAL

NoEc

Op

NoAcc

Op

Explanation CorrespondingAccounts

SUMS

D C

11 1 The invoice to asupplier is acquitted

404 Suppliers of non. = %

Cash at bank in lei 5121

Long term bank loans 1621

Bills of exchange payable 405

2380

100

1300

980

12 1 Acquisition of rawmaterials

% = 401 Suppliers

301 Raw materials

4426 Input VAT

1000

190

1190

13 1 The invoice isacquitted

401 Suppliers = %

Suppliers debtors 409

Bills of exchange 403

1190

300

890