0 Valuation of unsold consignment accounts

Video on

Valuation of unsold Consignment

Last Updated On: 27-Oct-2021Posted On: 27-Oct-2021

Please Login to Continue Watching Video

Features: 1. Two Parties: Consignment accounting mainly involves two party’s consignor and consignee. 2. Transfer of Procession: Procession of goods transferred from consignor to consignee. 3. Agreement: There is a pre-agreement between the consignor and consignee for terms and conditions of the consignment. 4. No Transfer of Ownership: The ownership of goods remains in the hands of the consignor until the consignee sells it. The only procession of goods is transferred to a consignee. 5. Re-Conciliation: At the end of the year or periodic intervals consignor sends Proforma invoice while consignee sends account sale details and both reconcile their accounts 6. Separate Accounting: There is independent accounting done of consignment account in the books of consignor and consignee. Both prepare consignment account and record the journal entries of goods through consignment account only.

Comments

Need to login to Comment

No Comments yet