How to deal with inventory loss accounting, and how to account for inventory loss?

First check the cause of the loss, which is included in the management expenses caused by poor management, included in the non-operating expenses caused by natural disasters, and included in other receivables if it is caused by personal reasons and needs to be compensated by individuals.

The loss of inventory is included in the profit or loss on the property to be disposed of.

Borrow: Profit or loss on property to be disposed of.

Credit: raw materials.

And then according to the reason.

Debit: Administrative expenses (non-operating expenses or other receivables).

Credit: Pending Property Gains and Losses.

The specific process is as follows: Step 1: The financial accountant reviews the original vouchers collected, reviews the legitimacy and authenticity of the bills, and signs the original vouchers after the audit and submits them to the financial manager for review and signature The second step:

Classify the original voucher signed by the financial manager and hand it over to the general manager for approval Step 3: Make the accounting voucher after the original voucher approved by the general manager, and print it for the financial manager to review.

1. Construction costs include direct costs and indirect costs. 2. The construction enterprise shall settle the project price with the construction unit according to the provisions of the contract, and shall submit the "project price settlement bill" to the construction unit, also known as the "mid-term payment application form". 3. When the construction unit pays the project price, the accounting treatment of the construction enterprise:

Debit: Bank Deposit Credit: Accounts Receivable Note:

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The loss of inventory is treated differently in the following situations:

1. Reasonable loss within the quota incurred in storage.

Borrow: Administrative expenses.

Credit: Inventory of goods (or raw materials, etc.).

2. Damage caused by natural disasters.

Borrow: Non-operating expenses.

Credit: Inventory of goods (or raw materials, etc.).

3. Losses caused by poor management.

Debit: Non-operating expenses (or other receivables, etc.).

Credit: Inventory of goods (or raw materials, etc.).

In terms of the treatment of inventory losses, the accounting system stipulates that due to the foresight that the inventory may suffer losses or fall out of market value, out of accounting "prudence", an enterprise should make a "provision for inventory decline" at the end of the period, but this is not recognized by the tax law.

For the abnormal loss of inventory, there are two situations in the accounting to directly deduct from the profit of the current year, that is, the loss of natural disasters is recorded as "non-operating expenses" after deducting the compensation of the insurance company, etc., and the loss of goods such as theft and mildew and deterioration caused by poor management is recorded as "management expenses" after deducting the compensation of the relevant responsible personnel.

For the inventory loss of the enterprise, the accounting entries are prepared according to the "inventory inventory report" as follows:

Borrow: loss and excess of property to be disposed of Loss and excess of current assets to be disposed of, credit: raw materials, turnover materials, inventory commodities, etc., for inventory loss, transfer should be made according to the reasons for the inventory loss.

It belongs to the loss within the quota and the error in the measurement of the daily receipt and dispatch of inventory, that is, the normal loss, which is transferred to the management expense after approval.

Borrow: Management Expenses, Credit: Property Loss and Excess to be Handled For the loss to be compensated by the negligent person, the following entries shall be made:

Debit: Other receivables, Credit: Loss and excess of property to be disposed of Losses and overflows of current assets to be disposed of, inventory losses due to irresistible reasons such as natural disasters, i.e., abnormal losses, should be made as follows:

Borrow: Non-operating expenses Extraordinary losses, Credit: Losses and losses on property to be disposed of, Gains and losses on current assets to be disposed of.

If there is abnormal loss such as mildew, deterioration, damage and so on due to management reasons, it will be included in the management expenses; If an abnormal loss occurs due to a natural disaster due to force majeure, it is included in the non-operating expense - extraordinary loss.

Borrow: Profit and loss of property to be disposed of - profit or loss of current assets to be disposed of.

Credit: raw materials.

Credit: Tax Payable - VAT Payable (Input Tax Transferred Out).

Borrow: management expenses (borne by the unit, income tax final settlement and adjustment).

Borrow: other receivables - * indemnity of the insurance company or the responsible person).

Credit: Profit and loss on pending property - Profit or loss on current assets to be disposed of.

How to account for inventory loss?

The loss of inventory is treated differently in the following situations:

1. Reasonable loss within the quota incurred in storage.

Borrow: Administrative expenses.

Credit: Inventory of goods (or raw materials, etc.).

2. Damage caused by natural disasters.

Borrow: Non-operating expenses.

Credit: Inventory of goods (or raw materials, etc.).

3. Losses caused by poor management.

Debit: Non-operating expenses (or other receivables, etc.).

Credit: Inventory of goods (or raw materials, etc.).

In the treatment of inventory losses, the accounting system provides for accounting reasons for the prospect that inventories may be subject to loss or non-market value"Caution", the enterprise should be accrued at the end of the period"Provision for decline in inventory value", but it is not recognized in the tax law.

For the abnormal loss of inventory, there are two situations in the accounting that are directly deducted from the profit of the current year, that is, the loss of natural disasters, which is recorded after deducting the compensation of the insurance company"Non-operating expenses", and due to poor management caused by the theft of goods, mildew and deterioration of the pre-book and other losses, after deducting the compensation of the relevant responsible personnel, it will be credited"Management fees".

What should I do if there is an extraordinary loss of inventory? According to the teacher mentioned above about the inventory loss of the relevant information, in fact, the company's inventory loss and abnormal loss of the accounting treatment is said here, I believe you have a certain understanding of this content after reading the above information, if you have any other questions to consult, you can come to this ** to find the teacher to communicate, there will be something to gain.

The inventory of the enterprise will inevitably be damaged in the process of storage, and for the inventory loss, the property loss and excess account to be disposed of is generally set up for accounting, and the corresponding accounting entries are done.

Inventory loss entries.

1. Reasonable loss within the quota incurred in storage.

Borrow: Administrative expenses.

Credit: Inventory of goods (or raw materials, etc.).

2. Damage caused by natural disasters of Youshen:

Borrow: Non-operating expenses.

Credit: Inventory of goods (or raw materials, etc.).

3. Accounting treatment of abnormal losses in inventory.

Borrow: Property loss and overflow to be disposed of - current assets to be disposed of are reported to land loss and overflow.

Credit: raw materials.

Tax Payable – VAT Payable (Input Tax Transferred Out).

After reporting for approval according to administrative authority:

Borrow: Administrative expenses.

Other receivables.

Credit: Pending Property Losses and Losses - Pending Losses and Losses of Current Assets.

What are non-operating expenses?

Non-operating expenses refer to the losses incurred by an enterprise that are not directly related to its daily activities, mainly including losses on damage and scrapping of non-current assets, public welfare donation expenses, inventory losses, extraordinary losses, fines, debt restructuring losses, etc.

Enterprises should go through the "Non-operating expenses" account. At the end of the period, the balance of the account should be transferred to the "Profit of the Year" account, and there is no balance in the account after the carryover.

What is inventory?

Inventory refers to the finished products or commodities held by the enterprise in its daily activities, the products in the production process, the materials or materials used in the production process or the provision of labor services, etc., including all kinds of materials, products in process, semi-finished products, finished products or inventory commodities, as well as packaging materials, low-value consumables, commissioned processing materials, etc.

What are other receivables?

Other receivables refer to various receivables and provisional payments other than the resale of financial assets, notes receivable, accounts receivable, prepaid accounts, dividends receivable, interest receivables, subrogation recoveries receivable, reinsurance receivables, reinsurance contract reserves receivable, long-term receivables, etc.

Borrow: Administrative expenses.

Credit: Raw Materials Inventory Goods.

Accounting for inventory gains and losses:

First, the treatment of inventory surplus. When an enterprise has an inventory surplus, the accounts such as "raw materials" and "inventory goods" are debited, and the accounts of "property loss and excess to be disposed of" are credited. After the approval is reported according to the management authority, the "Pending Property Loss and Loss" account is debited and the "Management Expenses" account is credited.

Second, the handling of inventory losses. The inventory loss or damage shall be accounted for as the loss or excess of the property to be disposed of. After being approved according to the management authority, according to the reasons for the loss or damage of the inventory, the following situations will be handled:

If the inventory shortage is caused by errors in measurement and receipt and mismanagement, the value of the residual material, recoverable insurance compensation and compensation for the negligent person shall be deducted first, and the net loss shall be included in the management expenses; If the inventory damage is caused by natural disasters or other extraordinary reasons, the disposal income (such as the value of the residual material), recoverable insurance compensation and compensation for the negligent person shall be deducted, and the net loss shall be included in the non-operating expenses.

Example 1: A general VAT taxpayer damaged a batch of inventory materials due to heavy rain, the actual cost of the batch of raw materials is 20,000 yuan, the value of the residual materials recovered is 800 yuan, and the insurance company compensates 11,600 yuan. The VAT rate for the purchase of materials by the enterprise is 17.

Due to the impact of natural disasters, raw materials do not need to be transferred out).

Before Approval Processing:

Borrow: Loss and Excess of Property to be Processed - Loss and Excess of Current Assets to be Handled 20,000 Credit: Raw Materials 20,000

After approval processing:

Borrow: Raw material 800

Credit: Loss and Excess of Property to be Processed - Excess of Current Assets to be Processed 800 Loan: Other Receivables 11600

Credit: Loss and Excess of Property to be Processed - Loss and Excess of Current Assets to be Handled 11,600 Borrow: Non-operating expenses 7,600

Credit: Excess of property to be disposed of - Excess of current assets to be disposed of 7600