Free refill at cafe -accounting treatment

18 February 2023

many cafe provide free refill on cold drink so does they record it separately or it is just recorded as cost of goods sold ?

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3 Replies

sabyasachi mukherjee (26089 Points)
Replied 19 February 2023

It's better to record separately to determine such free refill provided.

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Atharv Sankliya (1306 Points)
Replied 19 February 2023

Ok , and many restaurants provide unlimited food at a certain amount how the cost of food is recorded, does it is recorded as cost of manufacturing??

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Ks (Ac) (138 Points)
Replied 20 February 2023

sir can we also debit the cost of material(cold drink) consumed/sold ??

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