Prepaid deposit:
Borrow: Prepaid Accounts
Loan: Bank Deposit
Fixed Assets Acceptance, Payment of Balance:
Borrow: Fixed Assets (without taking into account taxes)
Loan: Prepaid Accounts
Bank Deposit
First of all, look at the setup of our financial section, Prepaid Accounts, that is, the materials, and so on. etc. Purchases of prepayments. Other receivables usually include temporary payment, is the enterprise in the commodity transaction business other than the occurrence of a variety of receivables, temporary payment. For example, the unit personnel travel recorded in other receivables - standby so-and-so. So still prepayments are more in line with the purchase of fixed assets first prepaid a portion of the purchase price.
Expanded:
Enterprises should set up a "prepayment" accounting account, accounting for enterprises in accordance with the The account shall be set up to account for the prepayments made to the supplier in accordance with the purchase contract.
(1) The prepayment made by the enterprise for the purchase of goods shall be debited to the account of "Prepayment" and credited to the account of "Bank Deposit".
(2) When the purchased materials are received, the amount to be included in the cost of the purchased materials shall be debited to "Material Purchase" or "Raw Materials" or "Inventory Commodities" according to the invoices, and the amount to be included in the cost of the purchased materials shall be debited to "Inventory Commodities" according to the special purpose bills. "According to the amount of value-added tax (VAT) stated on the invoice, debit the account of "Tax Payable - VAT Payable (Input Tax)", and according to the amount payable, credit the account of "Prepaid Accounts".
("The amount payable is credited to "Prepayment").
(3) The amount to be paid back is debited to "Prepayments" and credited to "Bank Deposits";
(4) The amount to be refunded is debited to "Bank Deposits" and credited to "VAT (Input Tax) Payable".
(4) To return the overpayment, debit the "bank deposit" account and credit the "prepayment" account.
Enterprises with few prepayments can also debit the prepayments directly to "Accounts Payable" without setting up the "Prepayments" account.
If the prepayments of an enterprise have conclusive evidence that they do not conform to the nature of prepayments, or if there is no expectation of receiving the purchased goods due to bankruptcy or withdrawal of the supplying organization, the amount originally included in prepayments shall be transferred to other receivables. Enterprises should be expected not to receive the goods purchased prepaid accounts book balance, debit "other receivables - prepaid accounts transferred" account, credit "prepaid accounts" account.
No provision for bad debts shall be made for prepayments other than those transferred to "other receivables".
"Prepayments" account should be set up according to the supply unit for detailed accounting.
"Prepayments" account debit balance at the end of the period, reflecting the actual prepayment of the enterprise; at the end of the period, such as credit balance, reflecting the enterprise has not yet paid the amount of money.
Baidu Encyclopedia - Prepaid Accounts