📘 Lesson — Adjustment Entries in Tally Prime
1. Adjustment Entry kya hoti hai?

Adjustment Entry ka use accounting records ko correct aur complete karne ke liye kiya jata hai, especially jab kisi income, expense, asset ya liability ko sahi accounting period mein show karna ho.

Simple Words Mein

Adjustment Entry = Accounts ko correct position mein lane ke liye ki gayi accounting entry.

Adjustment Entries mein aksar actual Cash/Bank movement nahi hota.

Isliye inhe generally Journal Voucher (F7) ke through record kiya jata hai.

2. Adjustment Entries ki Need kyun hoti hai?

Business ke accounts mein har transaction immediately complete form mein record nahi hota.

For example:

Expense ho gaya, payment baad mein hogi.
Payment ho gayi, benefit future period ka hai.
Income earn ho gayi, paisa abhi receive nahi hua.
Asset ki value depreciation ki wajah se reduce hui.
Kuch amount customer se recover nahi ho raha.

Aise cases mein accounts ko accurate banane ke liye Adjustment Entries pass ki jaati hain.

3. Adjustment Entry ka Main Purpose

Adjustment Entries ka main purpose:

Correct income calculate karna
Correct expenses calculate karna
Assets ki correct value show karna
Liabilities ko correctly show karna
Profit & Loss Account ko accurate banana
Balance Sheet ko accurate banana
Accounting period ke according income/expense record karna
4. Adjustment Entries aur Journal Voucher

Tally Prime mein common adjustment entries ko generally:

Journal Voucher — F7

ke through record kiya jata hai.

🧠 Memory Trick

Adjustment = Journal = F7

Lekin exact voucher selection transaction/configuration par depend kar sakta hai.

5. Common Adjustment Entries

Tally Prime ke basic accounting course mein ye adjustments important hain:

Adjustment Basic Entry
Outstanding Expense Expense Dr. → Outstanding Expense
Prepaid Expense Prepaid Expense Dr. → Expense
Accrued Income Accrued Income Dr. → Income
Income Received in Advance Income Dr. → Income Received in Advance
Depreciation Depreciation Dr. → Asset
Bad Debts Bad Debts Dr. → Customer
Provision/Other Adjustments Nature ke according
6. Outstanding Expense
Meaning

Outstanding Expense wo expense hai jo current accounting period se related hai, lekin uski payment abhi nahi hui.

Example

DSD Computers ki March ki electricity expense:

₹5,000

Expense ho gaya hai, lekin payment next month hogi.

Adjustment Entry

Electricity Expense A/c Dr. ₹5,000
To Outstanding Electricity A/c ₹5,000

Effect
Expense increase
Liability increase
Cash/Bank par abhi effect nahi
🧠 Memory Trick

Expense hua + Payment pending = Outstanding

7. Prepaid Expense
Meaning

Prepaid Expense wo expense hai jiska payment pehle kar diya gaya hai, lekin uska benefit future period mein milega.

Example

Business ne insurance ke liye ₹12,000 pay kiye.

Current accounting period se related amount:

₹8,000

Future period ka amount:

₹4,000

Adjustment Entry

Prepaid Insurance A/c Dr. ₹4,000
To Insurance Expense A/c ₹4,000

Effect
Current period ka expense reduce
Prepaid asset increase
Future period ka benefit separately show hota hai
🧠 Memory Trick

Payment pehle + Benefit future = Prepaid

8. Accrued Income
Meaning

Accrued Income wo income hai jo business ne earn kar li hai, lekin paisa abhi receive nahi hua.

Example

Business ne ₹3,000 interest earn kiya, lekin amount next month receive hoga.

Adjustment Entry

Accrued Interest A/c Dr. ₹3,000
To Interest Income A/c ₹3,000

Effect
Income increase
Receivable/asset increase
Cash/Bank abhi increase nahi
🧠 Memory Trick

Income earned + Money pending = Accrued Income

9. Income Received in Advance
Meaning

Jab business ko paisa pehle mil jata hai, lekin related income future period se belong karti hai, to us amount ko current period ki income ke roop mein recognize nahi kiya jata.

Example

Business ko ₹10,000 service-related amount pehle receive hua, lekin service next month provide karni hai.

Agar amount pehle income ke roop mein record ho gaya tha, to adjustment ki zarurat ho sakti hai.

Adjustment Entry

Service Income A/c Dr. ₹10,000
To Income Received in Advance A/c ₹10,000

Effect
Current income reduce
Liability increase
Future period mein income recognize ki ja sakti hai
🧠 Memory Trick

Money received + Income future = Advance Income

10. Depreciation Adjustment
Meaning

Business ke fixed assets ki value time/use ke saath accounting purpose ke liye reduce hoti hai. Is reduction ko Depreciation kehte hain.

Example

Computer Equipment par depreciation:

₹15,000

Entry

Depreciation A/c Dr. ₹15,000
To Computer Equipment A/c ₹15,000

Effect
Expense increase
Asset value reduce
Profit reduce
🧠 Memory Trick

Asset ki value ↓ = Depreciation

11. Bad Debts Adjustment
Meaning

Jab customer se amount recover nahi ho pata aur business us amount ko write off karta hai, to bad debts record kiye ja sakte hain.

Example

ABC Traders se ₹5,000 recover nahi ho raha.

Entry

Bad Debts A/c Dr. ₹5,000
To ABC Traders A/c ₹5,000

Effect
Bad Debt Expense increase
Customer outstanding reduce
Profit reduce
12. Adjustment Entries ka Accounting Effect

Adjustment entries ka direct purpose sirf entry pass karna nahi hai.

Ye Profit & Loss Account aur Balance Sheet ko bhi affect karti hain.

Example — Outstanding Expense

Electricity Expense ₹5,000 outstanding:

P&L: Expense increase
Balance Sheet: Liability increase

Example — Prepaid Expense

Insurance ₹4,000 prepaid:

P&L: Current expense reduce
Balance Sheet: Prepaid asset increase

Example — Depreciation

Depreciation ₹10,000:

P&L: Expense increase
Balance Sheet: Asset value reduce

13. Adjustment Entry kaise karein in Tally Prime?
Step 1: Gateway of Tally

Gateway of Tally → Vouchers

Step 2: Journal Voucher open karein

Press:

F7
Step 3: Date select karein

Adjustment ki applicable date enter karein.

Usually accounting period ke end par adjustments kiye ja sakte hain.

Step 4: Debit Ledger select karein

Transaction ki nature ke according Debit ledger select karein.

Example:

Salary Expense

Step 5: Credit Ledger select karein

Related adjustment ledger select karein.

Example:

Outstanding Salary

Step 6: Amount enter karein

Example:

₹20,000

Step 7: Narration enter karein

Example:

Being salary outstanding for the current accounting period.

Step 8: Debit-Credit verify karein

Check:

Total Debit = Total Credit
Step 9: Save
Ctrl + A

se voucher save/accept karein.

14. Complete Practical Example
DSD Computers

31 March ko business ne calculate kiya:

Salary Expense = ₹50,000 outstanding

Salary ki payment abhi nahi hui.

Step 1 — Adjustment Entry

Salary A/c Dr. ₹50,000
To Outstanding Salary A/c ₹50,000

Result:
Salary Expense P&L mein show hogi.
Outstanding Salary Balance Sheet mein liability ke roop mein show hogi.
Cash/Bank se abhi paisa nahi gaya.
15. Jab Outstanding Expense Baad Mein Pay Ho

Next month DSD Computers ne outstanding salary ₹50,000 bank se pay kar di.

Payment Entry:

Outstanding Salary A/c Dr. ₹50,000
To Bank A/c ₹50,000

Important Concept

Pehle:

Expense recognize → Liability create

Baad mein:

Liability settle → Bank payment

16. Adjustment Entries ka Simple Flow
Outstanding Expense

Expense Occurs
↓
Payment Pending
↓
Adjustment Entry
↓
Expense + Liability

Prepaid Expense

Payment Made
↓
Future Benefit
↓
Adjustment Entry
↓
Prepaid Asset

Accrued Income

Income Earned
↓
Money Pending
↓
Adjustment Entry
↓
Income + Receivable

Advance Income

Money Received
↓
Income Future Period Ki
↓
Adjustment Entry
↓
Liability

17. Adjustment Entry vs Normal Transaction
Normal Transaction Adjustment Entry
Daily business transaction Accounts correction/adjustment
Cash/Bank often involved Cash/Bank necessarily involved nahi
Purchase Depreciation
Sales Outstanding Expense
Payment Prepaid Expense Adjustment
Receipt Accrued Income
Contra Advance Income Adjustment
18. Adjustment Entry vs Payment Entry
Payment Entry

Actual payment ho rahi hai.

Example:

Rent A/c Dr.
To Bank A/c

Adjustment Entry

Expense recognize ho raha hai, but payment nahi hui.

Example:

Outstanding Rent A/c Dr./Cr. treatment according to adjustment structure

For an expense becoming outstanding:

Rent Expense A/c Dr.
To Outstanding Rent A/c

Simple Difference

Payment = Paisa actually gaya
Adjustment = Accounts ko correct kiya gaya

19. Adjustment Entry vs Receipt Entry
Receipt

Actual money receive hua.

Bank A/c Dr.
To Customer A/c

Accrued Income Adjustment

Income earn hui, but money receive nahi hua.

Accrued Income A/c Dr.
To Income A/c

Difference

Receipt = Paisa aa gaya
Accrued Income = Income earn hui, paisa pending hai

20. Common Mistakes
❌ Mistake 1: Har adjustment ko Payment samajhna

Outstanding expense mein payment abhi nahi hui.

❌ Mistake 2: Prepaid amount ko full expense maan lena

Future period ka benefit current expense nahi hona chahiye.

❌ Mistake 3: Accrued Income ko Receipt samajhna

Income earned hona aur cash receive hona alag events hain.

❌ Mistake 4: Debit-Credit equal na karna

Adjustment entry mein bhi:

Total Debit = Total Credit

❌ Mistake 5: Accounting period ignore karna

Adjustment ka main purpose hi income aur expenses ko correct accounting period mein show karna hai.

🧠 Easy Memory Chart
Situation Memory
Expense hua, payment pending Outstanding
Payment pehle, benefit future Prepaid
Income earned, money pending Accrued
Money received, income future Advance
Asset value reduce Depreciation
Customer amount recover nahi hua Bad Debt
Super Memory Trick:

O → Outstanding
P → Prepaid
A → Accrued
A → Advance
D → Depreciation
B → Bad Debt

O-P-A-A-D-B
📊 Quick Revision Table
Adjustment Main Effect
Outstanding Expense Expense ↑ + Liability ↑
Prepaid Expense Current Expense ↓ + Asset ↑
Accrued Income Income ↑ + Receivable ↑
Income in Advance Current Income ↓ + Liability ↑
Depreciation Expense ↑ + Asset Value ↓
Bad Debts Expense ↑ + Customer Due ↓
🖥️ Classroom Practical
Company: DSD Computers

Students ko following adjustments Tally Prime mein practice karni hain:

1. Outstanding Salary

Salary ₹25,000 outstanding.

2. Outstanding Electricity

Electricity ₹5,000 outstanding.

3. Prepaid Insurance

Insurance ka ₹4,000 amount future period se related hai.

4. Accrued Interest

Interest ₹3,000 earned but not received.

5. Depreciation

Computer Equipment depreciation ₹10,000.

6. Bad Debts

Customer se ₹2,500 recover nahi hua.

✍️ Practice Questions
Theory
Adjustment Entry kya hoti hai?
Adjustment Entries ki need kyun hoti hai?
Outstanding Expense kya hota hai?
Prepaid Expense kya hota hai?
Accrued Income kya hoti hai?
Income Received in Advance kya hoti hai?
Depreciation adjustment kya hota hai?
Adjustment Entries ka Profit & Loss Account par kya effect hota hai?
Adjustment Entries ka Balance Sheet par kya effect ho sakta hai?
Adjustment Entry aur Payment Entry mein kya difference hai?
Practical

Following transactions ki adjustment entries prepare karein:

Salary outstanding ₹30,000.
Electricity outstanding ₹6,000.
Insurance prepaid ₹5,000.
Commission earned but not received ₹4,000.
Rent received in advance ₹8,000.
Machinery depreciation ₹20,000.
Customer ka bad debt ₹3,000.
🎯 Learning Outcomes

Lesson complete hone ke baad student:

Adjustment Entry ka meaning samajh payega.
Adjustment Entries ki need explain kar payega.
Outstanding Expense identify kar payega.
Prepaid Expense identify kar payega.
Accrued Income samajh payega.
Income Received in Advance samajh payega.
Depreciation adjustment record kar payega.
Bad Debts ki basic adjustment entry bana payega.
Adjustment ka P&L aur Balance Sheet par effect samajh payega.
Tally Prime mein Journal Voucher ke through basic adjustment entries record kar payega.