October 30, 2016 admin

New Trucks—Light Duty—Retail Sales

Sales and Cost of Sales

NEW TRUCKS—LIGHT DUTY—RETAIL SALES ACCOUNT
SALES  3240-3791
COST OF SALES  4240-4791
ACCOUNT EXPLANATION
Sales: Selling price, less any discount or overallowance, of new light trucks sold to retail customers.

Cost of Sales: Inventory value of units sold. Note that inventory value is cost less vehicle holdback.

NOTE: Fleet/Sales of light trucks should be recorded in Accounts 3470 and 4470.

*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:

F150—Retail Sales/Cost of Sales 3780, 4780
F150—Retail Leases/COS 3781, 4781
*Refer to Chart of Accounts for current applicable Sales/Cost of Sales account numbers
TRANSACTIONS
Jrnl. Dr. Cr.
New light truck sold to retail customer for cash NV
Cash Sales – Clearing 1010
Sales – New Light Trucks – Retail Sales 3780, etc.
Cost of Sales – New Light Trucks – Retail 4780, etc.
Inventory – New Trucks – 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 truck series.
  • Sales data should be entered on the subsidiary vehicle inventory record.
  • Gains or losses on new truck transfers between dealerships should be recorded as decreases or increases in Account 4640, Dealer Transfers.
  • Account numbers 3460 and 4460, Non FoMoCo Light Trucks, should be used for sales of non-Ford light trucks.
  • Dealers who need to maintain records of gross sales and/or discounts and overallowances on light truck 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 truck line to 2 (3402,3412,etc.) to which discounts and overallowances should be debited. Gross sales amounts should be credited to the truck sales accounts (3400, 3410, etc.).