Salaries—F & I—New – Ford Online Accounting Manual

Expenses

SALARIES—F & I—NEW	EXPENSE ACCOUNT
	7400

ACCOUNT EXPLANATION
TRANSACTIONS
COMMENTS

ACCOUNT EXPLANATION

Salaries, wages, and incentives earned by the F & I manager and other employees of the F & I department, allocated to the new vehicle portion of the business, including vacation pay, granted holidays, authorized absence from work, and training time. Includes incentives based on the performance of the F & I department.

TRANSACTIONS

			Jrnl.	Dr.	Cr.

Salary earned by F & I manager			PR
	Salaries—F & I—New			7400
		Accrued Payroll			2410

Wages earned by F & I clerk			PR
	Salaries—F & I—New			7400
		Accrued Payroll			2410

COMMENTS

Bonuses of employees classified in this account based on total dealership profit should be charged to Account 9550, Employee Bonuses.
If the F & I department serves both the new and used vehicle departments, this expense should be divided equitably between this account and Account 7450, Salaries—F & I—Used.