When recording a journal entry for a sales account, ensure that the sales are strictly done on credit terms.
Goods must be transferred to end user or third party before recording of sales journal entry in company's books of accounts.
To record a journal entry for sales, the possession of goods or services is transferred from business to client or end user.
debit the client account (debtor account) and credit the income account (bill amount)
When recording done as journal entry any business transaction is recorded in books of accounts and become part of business books of accounts.
When recording a journal entry for a sales account, ensure that the sales are strictly done on credit terms.
The journal entry to record payment for supplies would involve crediting the cash account and debiting the supplies expense account.
Goods must be transferred to end user or third party before recording of sales journal entry in company's books of accounts.
What needs to happen when recording a Journal Entry for a sale on account
Debit cash / bankCredit accounts receivable
To record a journal entry for sales, the possession of goods or services is transferred from business to client or end user.
debit interest expensecredit notes payable
recording of business transaction in chronological order is a journal entry
Cash discount is expenses of trading account but this is not an expenses just like a scheame on spot given to the purchaser. So no seprate discount entry need in journal. just reduce discount amount in total value and entry it.
debit the client account (debtor account) and credit the income account (bill amount)
[Debit] Accounts receivable xxxx [Credit] Sales revenue xxxx
what is the entry for an excess payment from customer