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Journal entry of Expenses

All the services received which are necessary for the business to run are known as expenses. 

Journal Entry of expenses
  • Whether  receive of service or invoice, whichever is earlier

DD/MM/YYYY                        Expense A/c  Dr.                                 xxx
(Date of Invoice)                              To Vendor / Party A/c                                   xxx
                                                
                                           (Being expenses booked against the 
                                                  invoice ******** received for the 
                                                  service _____ received) 



  • When the payment is done to the vendor / party

 DD/MM/YYYY                       Vendor / Party A/c A/c  Dr.                                 xxx
(Date of Payment)                              To Bank/Cash A/c                                   xxx
                                          
                                                   (Being payment done against the 
                                                   the invoice ******* booked for the 
                                                    (relative) expense )
 



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