October 30, 2016 admin

Freight—Body Shop

Expenses

FREIGHT—BODY SHOP EXPENSE ACCOUNT
7871

ACCOUNT EXPLANATION
Expenses of freight, express, and postage on incoming and outgoing shipments of merchandise sold by the body shop.
TRANSACTIONS
  Jrnl. Dr. Cr.
  Express charges paid on incoming shipment of masking tape CD
    Freight—Body Shop 7871
      Cash in Bank—General 1001
COMMENTS
  • Transportation charges on vehicles, freight costs on capital assets, and freight charges on non-inventory items should be charged to the account debited with the original purchase and not to this account.