Sale on consignment basis

Please suggest the accounting entry in Case of Goods Send on Consignment Basis, and how to treat the entry if the part of the goods received back. 

Replies (3)

first entry wud be.... consignment ac dr.

                                       to guds sent on consignment

second entry shud be the reverse of first one..... but not sure

Second entry would be just opposite of first entry.

Goods sent on Consignment A/c Dr

To Consignee a/c

On Dispatch of Goods:

 

(Debit) Consignment a/c

(Credit) Goodse send on Consignment

 

For any return by Consignee:

 

Reverse the above entry

 

Payment of expense eg. transportation incurred by Consigner:

 

(Debit )Consignment a/c

(Creidt) Cash/Bank

 

Payment of expense eg. transportation incurred by Consignee

 

(Debit) Consignment a/c

(Credit) Consignee's Personal A/c

 

Sale by Consignee:

 

(Debit) Consignee personal a/c

(Credit)  Consignment

 

Commission to Consignee:

 

(Debit) Consignment A/c

(Credit) Consignee Personal A/c

 

For Unsold stock with Consignee:

 

(Debit) Stock on Consignment A/c

(Credit) Consignment a/c

 

Check below link as welll... will give you good insight:

https://www.slideshare.net/WeXplain/cacpt-accounts-consignment-revision-sheet-imp-mcqs

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