Journal Entry for Tech Logistic Advisory Service Intermediate
This query is : Resolved
manjunatha
(Querist)
30 August 2022
A tech logistic Advisory does following financial transactions
1. Gets prepaid money from its customers(B2B & B2C), a part of that money will be sales and other part will be passed on to Delivery Service Company because they actually get to that customer place and get goods and then go to destination to deliver goods
Journal Entry will be
1.1 Bank A/c Dr. 1,000
To Adv. From Customers. 1,000
(Being Prepaid money received)
1.2. Adv. From Customers. Dr. 100
To Sales. 100
(Being Sales for Delivery Advisory Service)
1.3. Adv. From Customers. Dr. 900
To Vendor Delivery Co. 900
(Being Delivery Charges Payable to Vendor Delivery Co.)
1.4. Vendor Delivery Co. Dr. 900
To Bank. 900
(Being Delivery Charges Paid)
The above entries are fine and easy.
But I want to know how to account for Cash on Delivery transactions. Sometimes, customers will have C.O.D. so I am liable to pay him the COD amount which I get from the Vendor Deliver Co.
1. Gets prepaid money from its customers(B2B & B2C), a part of that money will be sales and other part will be passed on to Delivery Service Company because they actually get to that customer place and get goods and then go to destination to deliver goods
Journal Entry will be
1.1 Bank A/c Dr. 1,000
To Adv. From Customers. 1,000
(Being Prepaid money received)
1.2. Adv. From Customers. Dr. 100
To Sales. 100
(Being Sales for Delivery Advisory Service)
1.3. Adv. From Customers. Dr. 900
To Vendor Delivery Co. 900
(Being Delivery Charges Payable to Vendor Delivery Co.)
1.4. Vendor Delivery Co. Dr. 900
To Bank. 900
(Being Delivery Charges Paid)
The above entries are fine and easy.
But I want to know how to account for Cash on Delivery transactions. Sometimes, customers will have C.O.D. so I am liable to pay him the COD amount which I get from the Vendor Deliver Co.
CA R SEETHARAMAN
(Expert)
31 August 2022
You account for only sale of 100.
Delivery company take 900 from the cash collection and pay you 100.
Delivery company take 900 from the cash collection and pay you 100.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- EPF ECR NEW RULES Sep 17th 2026
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
