Accounting treatment of consignment sales and consignment sales
For suppliers, it is consignment sales, but for sellers, it is consignment sales. Are you clear about this part? If you don't know much about it, let's study together with Xiao Bian.
What are the methods of consignment sales?
1. Way of payment of service charge
2. Deemed buyout
3. Base price (guaranteed price) and share of both parties exceeding the base price
4. Underwriting method
Company A entrusts Company B to sell 100 pieces of goods, the agreed price is 200 yuan/piece, and the cost is 120 yuan/piece. According to the consignment agreement, Party B has nothing to do with Party A whether it can sell or make a profit after obtaining the consignment goods. This batch of goods has been delivered, but the payment has not yet been received. The VAT indicated on the special VAT invoice issued by Company A is 3400 yuan. (Assume that Company B sells at a price of 250 yuan). What accounting treatment does Party A and Party B carry out respectively?
Accounting treatment of Company A (entrusted sales):
1. When goods are delivered:
Debit: accounts receivable 23400
Credit: Main business income 20000
Taxes payable - VAT payable (output tax) 3400
2. Carry forward cost:
Debit: main business cost 12000
Credit: 12000 goods in stock
Accounting treatment of Company B (consignment):
1. When receiving consignment goods:
Debit: 20000 consigned commodities
Credit: 20000 yuan for entrusted sales of goods
2. When selling consignment goods:
Debit: bank deposit 29250
Credit: Main business income 25000
Taxes payable - VAT payable (output tax) 4250
Cost carried forward at the same time:
Debit: Main business cost 20000
Credit: 20000 consigned commodities
3. When receiving the VAT invoice issued by the entrusting party:
Debit: 20000 yuan for entrusted sales of goods
Taxes payable mdash; Value added tax payable (input tax) 3400
Credit: accounts payable 23400
4. When payment is made to the consignor for selling goods on a commission basis:
Debit: accounts payable 23400
Credit: bank deposit 23400
How should a supermarket account for goods sold on a commission basis? How to make accounting entries?