Sales and Cost of Sales
| NEW SUV RETAIL SALES |
|
ACCOUNT |
| SALES |
3007-3595 |
| COST OF SALES |
4007-4595 |
|
|
ACCOUNT EXPLANATION
|
| Sales: Selling price, less any discount or overallowance, of new SUVs sold to retail customers. Cost of Sales: Inventory value of units sold. Note that inventory value is cost less vehicle holdback.
*NOTE: A separate series of numbers has been assigned for retail leases. The lease numbers are paired with the retail sales numbers by changing the last digit of the sales number to 1:
| Expedition—Retail Sales/Cost of Sales |
3400, 4400 |
| Expedition—Retail Leases/COS |
3401, 4401 |
*Refer to Chart of Accounts for current applicable Sales/Cost of Sales account numbers
|
TRANSACTIONS
|
|
|
|
Jrnl. |
Dr. |
Cr. |
|
|
|
New SUV sold to retail customer for cash |
|
NV |
|
|
|
|
Cash Sales—Clearing |
|
|
1010 |
|
|
|
|
Sales—New SUV—Retail Sales |
|
|
|
3400, etc. |
|
|
Cost of Sales—New SUV—Retail |
|
|
4400, etc. |
|
|
|
|
Inventory—New SUV—Ford Motor Company |
|
|
|
1310 |
|
COMMENTS
|
- Ford Motor Company instructions set forth the specific accounts within the above series to be used in recording sales and cost of sales for each SUV series.
- Sales data should be entered on the subsidiary vehicle inventory record.
- Gains or losses on new SUV transfers between dealerships should be recorded as decreases or increases in Account 4640, Dealer Transfers.
- Dealers who need to maintain records of gross sales and/or discounts and overallowances on SUV sales may use one of two methods:
| 1. |
Record gross sales and/or discounts and overallowances as memo items in the Vehicle Sales Journal without regard to vehicle line, or: |
| 2. |
Establish a separate account by changing the last digit of the sales account number for each SUV line to 2 (3402,3412,etc.) to which discounts and overallowances should be debited. Gross sales amounts should be credited to the SUV sales accounts (3400, 3410, etc.). |
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