How would you enter purchase of a house and a deposit on it

 

House is considered as Property, suppose that you pay a deposit of 50,000 in respect of the purchase, the House costing let us say 500,000. At the end of the accounting period the deposit remains refundable and all the terms and conditions in the purchase contract have not been satisfied. When the contract to acquire the house is already finalized you will pay the balance due, it clears the property purchase deposit account, and the property purchase record as a long term asset in the balance sheet at its full cost.

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