Name :: RADHAKRISHNAN
Question Title: :: transfer of goods from h.o. to branc
Explain your question in detail ::
Transfer of goods from ho to branch accounting of transfer value of goods either inclusive or exclusive of vat
Answer ::
Dear Radhakrishnan,
To record transfer of goods in the books of h.o. and branch is necessary. H.o. will debit branch account and credit inventory account. There is no need of VAT because it is not going for sale.
Branch will debit inventory account and credit h.o. account.