October 30, 2016 admin

Inventory—Miscellaneous Merchandise

Assets

INVENTORY—MISCELLANEOUS MERCHANDISE ASSET ACCOUNT
1460

ACCOUNT EXPLANATION
Merchandise valued at the lower of cost or estimated market value, for which no account is provided elsewhere in this Manual, on hand for sale. (also see Inventory—Recreation Vehicles—New, Account 1450).
TRANSACTIONS
  Jrnl. Dr. Cr.
  Merchandise accepted in trade on used car sale UV
    Inventory—Miscellaneous Merchandise 1460
    Cash Sales—Clearing 1010
      Sales—Used Cars—Retail 3700
             
  Costing of merchandise at time of sale PS
    Cost of Sales—Miscellaneous Merchandise 9300
      Inventory—Miscellaneous Merchandise 1460
COMMENTS
  • Subsidiary inventory record should support this account.
  • A physical inventory should be taken at least once a year and reconciled with the balance in this account.