Journal Voucher for Budget Expenditure and Annual Closing
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Journal voucher for budget expenditure
The journal voucher which is prepared to record the budget expenditure of government is called journal voucher for budget expenditure. It is also known as general journal voucher. This type of voucher is prepared when the payment is made on the head of budget expenditure. To represent budget expenditure, the word B.E. is mentioned before the title of an expenditure on the journal voucher.
Dr. BE (Name of the budget head)
Dr. BE (Name of the budget head)
Cr. Nepal Rastra Bank
(Being payment made for ……. by cheque)
Example:
The District Health Office, Kathmandu purchase machinery equipment for Rs. 50,000 and payment were made through cheque.
| Government of Nepal District Health Office, Kathmandu Journal Voucher | AGF No. 10 JV No. Date: |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. BE Machinery Equipment | 29511 | 50,000 | |||
| Cr. Nepal Rastra Bank | 50,000 | ||||
| (Being machinery equipment purchased and payment made through cheque) |
| Receipt No. Amount received: Submitted by Position: Accountant Date: | Cheque No: 00129 Cheque amount: Fifty thousand only. Approved by Position: Date: 05-30 |
Journal Voucher for the Annual Closing
The process of closing different accounts at the end of the fiscal year is called annual closing of accounts. The following journal vouchers are passed for annual closing:
- Closing Advance Account
If the advance given under different heads is not cleared till the end of the fiscal year, such advances should be cleared artificially treating as expenses equal to the advance. The following journal voucher is passed for an artificial clearance of advance:
Dr. B.E. The name of the budget head
Cr. The name and post of the person
Clearance of advance
(Being advance cleared artificially) - Closing Petty Cash Fund
The petty cash fund should be closed at the end of the fiscal year by passing the following journal voucher:
Dr. Nepal Rastra Bank (With unspent amount of fund)
Dr. Budget head
Cr. Petty cash fund
(Being petty cash fund closed) - Closing of Revolving/ Imprest Fund Account and Bank Account
The bank account is closed by issuing a cheque for the unspent amount of revolving fund. Such unspent amount is deposited in the consolidated fund. Such deposit of unspent imprest amount will close the bank account and revolving fund account it is so because the unspent budget of the current fiscal year under regular as well as development budget lapses at the end of the fiscal year. The following journal voucher is passed for the closing of revolving fund:
Dr. Revolving fund
Cr. Budget release
Cr. Nepal Rastra Bank
(Being revolving fund and bank account closed) - Closing of Budget Release and Budget Expenditure
A closing entry is required to close the total budget expenditures and total budget release accounts. For this, the total amount of budget expenditures should be matched with the total amount of budget release. The following journal voucher is passed to close the total budget expenditures and total budget release accounts:
Dr. Total budget release account
Cr. Total budget expenditures account
(Being closing of annual accounts)
- The journal voucher which is prepared to record the transactions relating to budget expenditure is called journal voucher for budget expenditure.
- The budget for the government is approved by the parliament on an annual basis.
- The process of closing different accounts at the end of the fiscal year is called annual closing of accounts.
- If the advance given under different heads is not cleared till the end of the fiscal year, such advances should be cleared artificially treating as expenses equal to the advance.
- A closing entry is required to close the total budget expenditures and total budget release accounts.
Very Short Questions
The journal voucher which is prepared to record the transactions relating to budget expenditure is called journal voucher for the budget expenditure. It is also known as a general journal voucher. This is commonly used journal voucher in government offices. When the payment is made on any head of budget expenditure, these types of journal voucher are prepared. It records the payment for budget expenditures like salaries, allowance, office expenses, telephone charges etc. While preparing journal voucher, the budget head or subhead should be debited. All the payments are assumed to be made through Nepal Rastra Bank and hence Nepal Rastra Bank should be credited. The related budget head number should be mentioned in the concerned column and a brief narration should be given for the explanation of each transaction. The journal voucher for budget expenditure is passed as follows:
Dr. BE (Name of the budget head)
Cr. Nepal Rastra Bank
(Being payment made for ……. by cheque)
The budget for the government is approved by the parliament on an annual basis. The process of closing different accounts at the end of the fiscal year is called annual closing of accounts. The following journal vouchers are passed for annual closing:
- Closing Advance Account
If the advance given under different heads is not cleared till the end of the fiscal year, such advances should be cleared artificially treating as expenses equal to the advance. The following journal voucher is passed for an artificial clearance of advance:
Dr. B.E. The name of the budget head
Cr. The name and post of the person
Clearance of advance
(Being advance cleared artificially) - Closing Petty Cash Fund
The petty cash fund should be closed at the end of the fiscal year by passing the following journal voucher:
Dr. Nepal Rastra Bank (With unspent amount of fund)
Dr. Budget head
Cr. Petty cash fund
(Being petty cash fund closed) - Closing of Revolving/ Imprest Fund Account and Bank Account
The bank account is closed by issuing a cheque for the unspent amount of revolving fund. Such unspent amount is deposited in the consolidated fund. Such deposit of unspent imprest amount will close the bank account and revolving fund account it is so because the unspent budget of the current fiscal year under regular as well as development budget lapses at the end of the fiscal year. The following journal voucher is passed for the closing of revolving fund:
Dr. Revolving fund
Cr. Budget release
Cr. Nepal Rastra Bank
(Being revolving fund and bank account closed) - Closing of Budget Release and Budget Expenditure
A closing entry is required to close the total budget expenditures and total budget release accounts. For this, the total amount of budget expenditures should be matched with the total amount of budget release. The following journal voucher is passed to close the total budget expenditures and total budget release accounts:
Dr. Total budget release account
Cr. Total budget expenditures account
(Being closing of annual accounts)
| Government of Nepal District Education Office, Palpa Journal Voucher | AGF No. 10 JV No. Date: 04/10 |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. B.E Computer | 29511 | 25,000 | |||
| Cr. Nepal Rastra Bank | 25,000 | ||||
| (Being paid for computer purchased through cheque no. 00036.) | |||||
| Receipt No: Amount received: Submitted by: Mr. ABC Post: Accountant Date: 04/10 | Cheque No: 00036 Cheque amount: Twenty five thousand only. Approved by: Mr. XYZ Post: Office head Date: 04/10 |
| Government of Nepal District Education Office, Kathmandu Journal Voucher | AGF No. 10 JV No. Date: 04/13 |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. BE Furniture | 29311 | 15,000 | |||
| Cr. Nepal Rastra Bank | 15,000 | ||||
| (Being paid for furniture purchase through cheque no. 012) |
| Receipt No: Amount received: Submitted by: Mr. ABC Post: Accountant Date: 04/13 | Cheque No: 012 Cheque amount: Fifteen thousand only. Approved by: Mr. XYZ Post: Office head Date: 04/13 |
| Government of Nepal District Administration Office, Kathmandu Journal Voucher | AGF No. 10 JV No. Date: 05/18 |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. BE Computer | 29511 | 35,000 | |||
| Cr. Nepal Rastra Bank | 35,000 | ||||
| (Being computer purchased and paid through cheque.) |
| Receipt No: Amount received: Submitted by: Mr. ABC Post: Accountant Date: 05/18 | Cheque No: 006788 Cheque amount: Thirty five thousand only. Approved by: Mr. XYZ Post: Office head Date: 05/18 |
| Government of Nepal District Education Office, Dolpa Journal Voucher | AGF No. 10 JV No. Date: 04/15 |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. BE Telephone charge | 22142 | 7,000 | |||
| Cr. Nepal Rastra Bank | 7,000 | ||||
| (Being telephone charge paid through cheque.) | |||||
| Receipt No: Amount received: Submitted by: Mr. ABC Post: Accountant Date: 04/15 | Cheque No: 01234 Cheque amount: Seven thousand only. Approved by: Mr. XYZ Post: Office head Date: 04/15 |
| Government of Nepal District Education Office, Rukum Journal Voucher | AGF No. 10 JV No. Date: 04/06 |
| Code No. | Particulars | LF | BH No. | Debit Rs. | Credit Rs. |
| Dr. BE Telephone charge | 22142 | 13,000 | |||
| Cr. Nepal Rastra Bank | 13,000 | ||||
| (Being paid for telephone bill through cheque no. 105.) | |||||
| Receipt No: Amount received: Submitted by: Mr. ABC Post: Accountant Date: 04/06 | Cheque No: 105 Cheque amount: Thirteen thousand only. Approved by: Mr. XYZ Post: Office head Date: 04/06 |
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The journal voucher which is prepared to record the transactions relating to budget expenditure is called ______.
journal voucher for advance transactions
journal voucher for miscellaneous transactions
journal voucher for the budget expenditure
journal voucher for yearly closing
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The journal voucher for the budget expenditure is also known as a ______.
general journal voucher
advance journal voucher
specific journal voucher
peculiar journal voucher
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The journal voucher for the budget expenditure records the payment for budget expenditures like ______.
salaries
office expenses
allowance
all the options are correct
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The budget for the government is approved by the parliament on an ______ basis.
annual
daily
monthly
weekly
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The process of closing different accounts at the end of the fiscal year is called ______ closing of accounts.
daily
monthly
annual
weekly
-
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Roshma Thapa
In the question no 3 we write computer or machinery equipment
Jun 08, 2017
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