Purchase of Fixed Assets with Hire Purchase

Purchase of Fixed Assets with Hire Purchase

Purchase of Fixed Assets with Hire Purchase:

Purchase of Machine value S$80,000.00 with down payment of S$25,600.00

Hire Purchase principal S$60,000.00

Monthly instalment S$1,150.00 x 60 months 

Total Interest charge (base on 3% interest) S$1,800.00 x 5 years = S$9,000.00


Create an Item Group for Fixed Assets entry 


Setup > Item Group > New


Tick changeable Account so we can select GL code   



Create an Item code for Fixed Assets 

Setup > Item > New 


Enter the information and save it



Enter Purchase Fixed assets invoice

Purchases > Supplier Invoice > New 

Feature

Function

Click on < Purchases > 

  • Purchases activity is for all Accounts Payable module

Click on < Supplier Invoice >

  • To view supplier invoices history listing
  • To enter Supplier Invoice

Click on < NEW >

  • For create a new entry



Enter the information and save it

Feature

Function

Click on < Add >

  • To save the document





To view double entries

Click on GL button

Feature

Function

Click on < GL >

  • To view double entries for that documents








Downpayment

Purchases > Payment > New

Feature

Function

Click on < Payment >

  • To view payment history listing
  • To Enter payment 




Import Supplier Invoice to make payment

Feature

Function

Click on < Import >

  • To import outstanding invoices for this payment





Docu Outstanding > Add Selected Row > Back

Feature

Function

  • Click on < Docu Outstanding >
  • It will show the outstanding on your right hand site for us to choose.
  • Click on < Add Selected Row >
  • Will add the highlighted outstanding to this payment voucher.
  • Click on < Back >
  • After completed selection of outstanding document back to payment voucher screen



Change the amount for payment and Add



Do the Journal entry for Hire Purchase transaction 

Adjustment > Journal Entry > New 

Feature

Function

Click on < Adjustment >

  • To do adjustment by Journal Entry




Enter double entry and save it


Feature

Function

Selection on < Account >

  • To choose the account for transaction 


Selection on < Business Partner >

  • For choosing on Trade Creditor / Debtor Account need to enter the name for Creditor or Debtor 




Monthly repayment for Hire Purchase

Purchases > Payment > New 


Enter the information and save it



Feature

Remark

Selection on < Mode >

  • To select the withdrawer bank 


Selection on < Cheque Payee  >

  • Payee for the cheque  


Selection on < Cheque Layout > 

  • To choose the cheque layout that you want to print for this cheque


Tick on < A/C Payee Only >

  • This will appear in the cheque


Tick on < Bearer >

  • This is for cross the bearer in the cheque


Click on < Print Envelope >

  • Print out Envelope 




Journal Entry for monthly Fixed Assets depreciation:


Machine value S$80,000.00 with 10% depreciation.

monthly depreciation S$8,000.00/12mths = S$666.66 



Create a Journal Entry for Fixed Assets depreciation:


Adjustment > Journal Entry > New


Enter the double entry and save it


Balance Sheet to shown Fixed Assets transaction with Accumulated Depreciation





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