Used CPO Trucks (Franchise Only)—Reconditioning—Retail/Retail Lease

Sales and Cost of Sales

USED CPO TRUCKS (FRANCHISE ONLY)—RECONDITIONING—RETAIL/RETAIL LEASE	COST OF SALES ACCOUNT
	4971, 4976

Reconditioning costs on Used CPO Trucks (Franchise Only) retail and retail lease trucks sold to retail customers.

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

			Jrnl.	Dr.	Cr.

Costing of used cpo truck sold to retail customer			UV
	Cost of Sales—Used CPO Truck (Franchise Only)—Retail			4970
	Cost of Sales—Used CPO Trucks (Franchise Only)—Reconditioning—Retail			4971
		Inventory—Used CPO Trucks (Franchise Only)			1385

Costing of used retail lease cpo truck to retail customer			UV
	Cost of Sales—Used CPO Car (Franchise Only) Retail Lease—Retail			4975
	Cost of Sales—Used CPO Car (Franchise Only) Retail Lease Reconditioning—Retail			4976
		Inventory—Used CPO Trucks (Franchise Only)			1385

Reconditioning costs on used certified pre-owned trucks in inventory should be charged initially to Account 1385, Inventory—Used CPO Trucks(Franchise Only).When used certified pre-owned trucks are retailed or retail leased, the inventory value excluding reconditioning costs of the units should be charged to Account 4970, Cost of Sales—Used CPO Trucks (Franchise Only)—Retail or Account 4975, Cost of Sales—Used CPO Trucks (Franchise Only) Retail Lease—Retail.
After the sale, free service and warranty service for which the dealership is responsible should be charged to Account 7230, Free Service/Maintenance & Policy—Used.