Used Medium Trucks—Retail

• ACCOUNT EXPLANATION
• TRANSACTIONS
• COMMENTS

Sales: Selling price, less overallowance, of used medium trucks sold to retail customers.

Cost of Sales: Inventory value, excluding reconditioning costs, of units sold.

*Refer to Chart of Accounts for current applicable Sales/Cost of Sales account numbers

• The cost of each vehicle and reconditioning costs should be obtained from the subsidiary vehicle inventory record. Sales data should be entered on the vehicle inventory record.
• When medium trucks are retailed, the inventory value, excluding reconditioning costs, of the units should be charged to Account 4860, Cost of Sales—Used Medium Trucks—Retail. Accumulated reconditioning cost should be charged to Account 4861, Cost of Sales—Used Trucks—Reconditioning—Retail.
• Dealers who need to maintain records of gross sales and/or overallowances on used truck sales may use one of two methods:

  1.	Record gross sales and/or overallowances as memo items in the Vehicle Sales Journal, or:
  2.	Establish a separate account, using Account 3861, Sales—Used Medium Trucks—Retail—Overallowances, to which overallowances should be debited. Gross sales amounts should be credited to Account 3860.