Under this one, it has to be noted that as soon as the agent sells the goods, he has to prepare another statement that is regarded as the account sales. On this note, therefore, the account sales shows the proceeds from the sales, any expense incurred by selling the goods as well as the agent’s …
The consignor will open the following account for the transaction. Goods out on consignment Account; This account is credited with the cost of goods that are sent on consignment account. Here, at the end of the period, this account is closed and’ the balance is transferred to the general trading account of the consignor as …
Note that the commission paid to an agent depends on the nature of’ the agency. There are two types of agents and they are thus: (i) The ordinary agent and (ii) The del credere agent.
This is an aspect of account that is being prepared in a place where one party who is acting as an agent sells goods on behalf of another party that is being called the dealer. The agent and the dealer sometimes live very far part, often times different Countries For this type of transaction, the …
This aspect of an account is the amalgamation of accounts of persons that are engaged in any temporary business for a definite purpose. The persons that are engaged in a joint venture are known as venturers. The joint venture can be terminated at the expiration of the specific purpose for which they started. Note that …
This is not an account but it is rather a statement that shows the state of affairs of a business in a given particular period of time. It shows the financial position of a business at a particular period of time. It is a classified summary-of both the debit, and the credit balance existing in …