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Explain the Accounting for Sales.

Explain the Accounting for Sales.

Answers

Sales are realized after selling goods that were initially bought or purchased by a business with the purpose of resale. Sales generate revenue for a particular business and can be sub-divided into either Cash Sales or Credit Sales.

- Accounting Treatment for Cash Sales
Debit : Cash/ Bank Account
Credit : Sales Account

- Accounting Treatment for Cash Sales
Debit : Debtors Account/ Accounts receivable Account
Credit : Sales Account

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Kavungya answered the question on August 17, 2021 at 07:38

Next: Prepare Asset, Liability and Capital Accounts for Michael who had the following transactions for the month of January, 20x3. 01/01/2013: Started business by depositing Ksh 500,000...
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