October 30, 2016 admin

Inventory—Remarketed SUV/Trucks

Assets

INVENTORY—REMARKETED SUV/TRUCKS ASSET ACCOUNT
1365
ACCOUNT EXPLANATION
Remarketed SUV/Trucks held for resale valued at the lower of cost or estimated wholesale value. Cost includes reconditioning charges, if any.
TRANSACTIONS
Jrnl. Dr. Cr.
Reconditioning work performed on remarketed SUV/Truck I
Inventory—Remarketed SUV/Trucks 1365
Sales—Parts to Service—Internal 5470
Sales—Parts to Body Shop—Internal 5530
Sales—Service Labor—Internal 5730
Sales—Body Shop Labor—Internal 5840
Costing remarketed SUV/Truck sold at retail UV
Cost of Sales—Remarketed SUV/Trucks—Retail 4850, 4950
Cost of Sales—Used SUV/Trucks—Reconditioning—Retail 4751
Inventory—Remarketed SUV/Trucks 1365
Remarketed truck purchased on wholesale floor plan VP
Inventory—Remarketed SUV/Trucks 1365
Notes Payable—Remarketed Vehicles 2015
Cost of sale vehicle sold to F.M.C.C. UV
Cost of Sales 4850, 4950
Inventory—Remarketed SUV/Truck 1365
Accessories installed in a remarketed SUV/Truck I
Inventory—Remarketed SUV/Truck 1365
Inventory Parts, Ford 1400
Inventory Parts, Other 1410
Service Labor Sales Internal 5730
Body Shop Labor Sales Internal 5840
COMMENTS
  • Remarketed SUV/Trucks are used Ford Motor Company SUV/Trucks sold to Ford and Lincoln Mercury dealers at closed auction. (i.e. Fleet repurchase vehicles, Ford Company Sales Vehicles, etc.)
  • Subsidiary records should support this account. At month end, SUV/Trucks should be physically inventoried and their total cost reconciled with the balance in this account.
  • An inventory numbering system that will identify units by truck series should be adopted. See Office Management for details.
  • If at month end, the amount at which a unit is carried in inventory exceeds its current estimated wholesale value, the excess amount should be credited to this account and charged to Account 4752 Used SUV/Trucks Inventory Adjustments.
  • Auction fees incurred on purchase of remarketed trucks should be charged to this account.