Assets LEASED VEHICLES—ACCUMULATED DEPRECIATION ASSET ACCOUNT 1620 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Accumulated depreciation of units in leased vehicle inventory. TRANSACTIONS Jrnl. Dr. Cr. Monthly provision for depreciation on leased vehicles in inventory SE Leased Vehicle Net Income 5300 Accumulated Depreciation—Leased Vehicles 1620 Read more about Leased Vehicles—Accumulated Depreciation[…]
Assets LEASED VEHICLES ASSET ACCOUNT 1610 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Cost of new vehicles in wholesale leasing service within the dealership operation, including dealer-installed options and accessories. TRANSACTIONS Jrnl. Dr. Cr. New car placed in wholesale leasing service VP Leased Vehicles Wholesale 1610 Inventory—New Cars 1300 Read more about Leased Vehicles[…]
Assets PREPAID EXPENSES—REAL ESTATE TAXES ASSET ACCOUNT 1570 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Real estate taxes paid in advance that apply to future accounting periods. In most instances, payments are made to Ford Leasing and Development Company which will, in turn, make applicable payments to tax authorities. TRANSACTIONS Jrnl. Dr. Cr. Monthly Read more about Prepaid Expenses—Real Estate Taxes[…]
Assets PREPAID EXPENSES—MISCELLANEOUS ASSET ACCOUNT 1560 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Expenses of substantial amount paid in advance that will benefit future accounting periods and for which no specific prepaid account has been provided elsewhere in the Manual. TRANSACTIONS Jrnl. Dr. Cr. Purchase of one year’s supply of repair order forms P Read more about Prepaid Expenses—Miscellaneous[…]
Assets PREPAID EXPENSES—TAXES—OTHER ASSET ACCOUNT 1550 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Taxes, other than income, paid in advance that apply to future accounting periods. Includes real estate taxes, personal property taxes, franchise fees, gross receipts taxes, and intangibles taxes. TRANSACTIONS Jrnl. Dr. Cr. Payment of business license paid for one year in Read more about Prepaid Expenses—Taxes—Other[…]
Assets PREPAID EXPENSES—TAXES—INCOME ASSET ACCOUNT 1540 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION The income tax on expenses deducted for book purposes in the current or prior years but not deductible for income tax purposes until the following year. Also includes tax payable on income deferred on the books which is taxable in the current year. Read more about Prepaid Expenses—Taxes—Income[…]
Assets PREPAID EXPENSES—RENT ASSET ACCOUNT 1530 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Rent paid in advance that applies to future accounting periods. TRANSACTIONS Jrnl. Dr. Cr. Payment of three months’ rent of storage lot in advance CD Prepaid Rent 1530 Cash in Bank—General 1001 Read more about Prepaid Expenses—Rent[…]
Assets PREPAID EXPENSES—INTEREST ASSET ACCOUNT 1520 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Interest paid in advance that applies to future accounting periods. TRANSACTIONS Jrnl. Dr. Cr. Three-month promissory note of dealership discounted at bank CR Cash in Bank—General 1001 Prepaid Interest 1520 Notes Payable—Other—Short Term 2030 Read more about Prepaid Expenses—Interest[…]
Assets PREPAID EXPENSES—INSURANCE ASSET ACCOUNT 1510 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Insurance paid in advance that applies to future accounting periods. TRANSACTIONS Jrnl. Dr. Cr. One-year premium on equipment insurance paid in advance CD Prepaid Insurance 1510 Cash in Bank—General 1001 Read more about Prepaid Expenses—Insurance[…]
Assets PREPAID EXPENSES—ADVERTISING ASSET ACCOUNT 1500 ACCOUNT EXPLANATION TRANSACTIONS COMMENTS ACCOUNT EXPLANATION Advertising expenditures made in advance that apply to future accounting periods. TRANSACTIONS Jrnl. Dr. Cr. Three-month spot new car radio contract paid in advance CD Prepaid Advertising 1500 Cash in Bank—General 1001 Read more about Prepaid Expenses—Advertising[…]