Installation charges incurred on machinery is debited to installation expense account. To rectify the same, account is credited.

Installation expense

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Solution

The correct option is A Installation expense
Since the amount is wrongly debited to installation expense account instead of machinery account, it is rectified by crediting installation expense account and debiting machinery account.

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Q. Which account is debited when expenses are paid for installation of machinery?

Q. Answer in one Sentence only

Which account is debited when expenses are paid on installation of Machinery?

Rectify the following errors:-

1) Purchase of Building was passed through purchases Book as Rs 65,000.
2) Wages paid for construction of building Rs 15,000 was wrongly debited to wages account.
3) Expense of installation of Machinery was debited to installation charges account Rs 55,000.
4) Brokerage paid Rs 600 for purchase of investment were debited to brokerage account.
5) Old Motor car purchased was debited to repairs account Rs 7,000.
6) Materials purchased for construction of Building was debited to purchases account Rs 9,000.

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Installation charges incurred on machinery is debited to installation expense account. To rectify the same, account is credited.

The correct option is A Installation expenseSince the amount is wrongly debited to installation expense account instead of machinery account, it is rectified by crediting installation expense account and debiting machinery account.

The correct option is A Installation expense
Since the amount is wrongly debited to installation expense account instead of machinery account, it is rectified by crediting installation expense account and debiting machinery account.