COGS Accounting Entry
Dear All, Hope you all well.
I have the 2 urgent questions:
1.I will describe the issue with example:
Financial department created 2 accounts for inventory Cost Of Goods Sold (COGS), account names are <A> and <B>.
Account <A> will hold all Order Management Sales Orders transactions for items that has prices.
Account <B> will hold all Order Management Sales Orders transactions for items that has 0 price.
Item X cost = 3$.
We created sales order number 2012001 with 2 lines. First line for item X with price of 4$. Second line for item X with price 0 (As promotion or bonus).
Now when ship this transaction it will create accounting entry:
I have the 2 urgent questions:
1.I will describe the issue with example:
Financial department created 2 accounts for inventory Cost Of Goods Sold (COGS), account names are <A> and <B>.
Account <A> will hold all Order Management Sales Orders transactions for items that has prices.
Account <B> will hold all Order Management Sales Orders transactions for items that has 0 price.
Item X cost = 3$.
We created sales order number 2012001 with 2 lines. First line for item X with price of 4$. Second line for item X with price 0 (As promotion or bonus).
Now when ship this transaction it will create accounting entry:
0