October 30, 2016 admin

Ford Receivable—FDAF

Assets

FORD RECEIVABLE—FDAF ASSET ACCOUNT
1265

ACCOUNT EXPLANATION
Co-op advertising program designed to provide financial support for advertising costs.
TRANSACTIONS
  Jrnl. Dr. Cr.
  Ford Division Advertising Fund amounts due dealership VP
    Ford Receivable—FDAF 1265
      Advertising Refunds/Allowances—New 7120
             
  Check received in payment of FDAF CR
    Cash in Bank—General 1001
      Ford Receivable—FDAF 1265
COMMENTS
  • Eligible rebates are to be claimed from the local FDAF office utilizing local claims procedures. The amount to be claimed should be recorded concurrent with recording a vehicle sale.
  • The amount of the rebate should be debited to Account 1265, Ford Receivable—FDAF, with an offsetting credit to Advertising Refunds/Allowances—New.
  • Amounts outstanding 90 days or more must be reserved in Account 1291, allowance for Doubtful Ford Receivables.