How to do raw material accounting entries Sales raw material accounting entries

How to handle the accounting of raw material accounting accounts.

Enterprises sell raw materialsAccounting entriesAs follows:

1. The enterprise sells raw materials, and the specific accounting entries are:

Debit: Accounts receivable.

Company name. Credit: Other business income.

Taxes and fees due. - VAT payable (output tax.

2. The enterprise collects sales payments, and the accounting entries are:

Borrow: Bank deposit.

Credit: Accounts Receivable – Company Name.

3. When the profit is carried forward at the end of the period, the accounting entries are:

Borrow: Other business income.

Credit: Profit for the year.

The account in which the revenue from the sale of raw materials is credited.

The income from the sale of materials is under the other business income account.

Other business income refers to the main business income of the enterprise.

All other economic benefits generated through daily activities such as the sale of goods, the provision of income from services, and the transfer of the right to use assets. Such as sales of materials, materials and packaging, transfer of intangible assets, and fixed assets.

Leasing, packaging rental, transportation, waste materials** income, etc.

Because raw materials do not belong to the company's main sales products, ** products are included in the main business income, and the sales of raw materials are included in other business income. In the daily activities of the enterprise, it may also sell raw materials that are not needed, and sell separately priced packaging materials along with the goods.

Since the sale of materials is not the main business of the enterprise, it should be included in other business income.

Accounting Entry: Debit: Accounts Receivable or Bank Deposit Cash.

Credit: Other business income.

Tax Payable – VAT output tax payable.

At the same time, the cost is carried forward.

Borrow: Other operating costs.

Credit: raw materials.

**Raw materials bank deposits increase at the same time as raw materials decrease, so do income at the same time to settle the cost of materials.

Purchase of raw materialsAccounting entriesIt is written as follows:

1. Invoices and materials arrive at the same time, which is referred to as "single goods arrive at the same time".

Borrow: raw materials.

Taxes and fees due. – VAT payable (input tax.

Credit: Bank deposits.

Notes payable, etc.

2. The invoice has arrived, and the materials have not arrived, which is referred to as "the single arrival has not arrived".

Borrow: Supplies in transit.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, notes payable, etc.

After the material arrives and is inspected in the warehouse:

Borrow: raw materials.

Credit: Supplies in transit.

3. The materials have arrived, and the invoices have not arrived, which is referred to as "the goods have not arrived".

Borrow: Raw materials (provisional value).

Credit: Accounts payable.

Provisional accounts payable.

At the beginning of next month, the upper pen will be entered in red.

Reversal: Borrow: Raw Materials (Provisional Value) (Write-off in red).

Credit: Accounts Payable - Provisional Accounts Payable (Write-off in red).

Wait until the invoice arrives, and then again.

Borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: bank deposits, notes payable, etc.

4. Purchasing materials by prepayment is referred to as "prepayment purchase".

When prepaying:

Debit: Advance payments.

Amount of prepayment) credit: bank deposits.

After receiving the material:

Borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: Prepaid accounts (the actual amount of missing keys should be searched).

Retroactive payment: debit: prepaid (difference between prepaid and payable).

Credit: Bank deposits.

Refund of overpayments:

Borrow: Bank deposit.

Credit: Accounts prepaid (the difference between prepaid and payable).

The accounting entries are as follows:

Borrow: Production Costs A Products Direct Materials Manufacturing Expenses Material Consumption.

Credit: Raw material A material Raw material C material.

Accounting entries are also known as "bookkeeping formulas". Abbreviated as "entries". According to the requirements of the double-entry bookkeeping principle, it lists the corresponding accounts of both parties and their amounts for each economic transaction.

Before registering accounts, the preparation of accounting entries through accounting vouchers can clearly reflect the classification of economic operations, which is conducive to ensuring the correctness of account records and facilitating post-event inspection. Each accounting entry mainly consists of the accounting symbol, the relevant account name, summary and amount. There are two types of accounting entries: simple entries and compound entries.

Simple entries are also called "single entries". Refers to an accounting entry that corresponds to the debit of one account and the credit of another. Compound entries are also known as "multiple entries".

It refers to an accounting entry that corresponds to the debit of one account and the credit of several accounts, or the credit of one account to the debit of several accounts.

Extended Information:1Three elements 1. Accounting direction (debit or credit) 2. Account name (ledger account) 3. Amount.

2.Types According to the number of accounts involved in accounting entries, they can be divided into simple entries and compound entries. Simple entries refer to accounting entries that involve only two accounts, i.e., accounting entries that borrow one and one loan; A compound entry is an accounting entry that involves two or more accounts, not including two.

3.Methods Tomography Chromatography refers to a method of solving problems that divides the development process of things into several stages and levels, and analyzes them layer by layer, so as to finally obtain results. The use of tomography to compile accounting entries is intuitive and clear, and the ideal teaching effect can be obtained, and the steps are as follows:

1) Analyze and list the accounting accounts involved in economic transactions.

2) Analyze the nature of accounting accounts, such as asset accounts, liability accounts and other accounting entries.

3) Analyze the increase or decrease of the amount of each account.

4) Determine the direction of the account according to the steps and the economic content (increase or decrease) reflected by the borrower and debit of each type of account.

5) Prepare accounting entries according to the bookkeeping rules that there must be loans and loans must be equal. This method is very effective for students to know exactly the accounting subjects involved in the accounting business, and is more suitable for the preparation of individual accounting entries.

Raw material accounting entries mainly involve the following situations, as follows:

Invoices arrive at the same time as the materials.

Borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: Bank deposits.

If there is freight, sorting fees and other necessary expenses before warehousing, they are included in the cost of raw materials.

When the invoice arrives first.

Borrow: materials in transit (including freight).

Tax Payable – VAT Payable (inbound).

Credit: Bank deposits.

Incurred freight, handling charges, etc.:

Borrow: materials in transit (including freight).

Credit: Bank deposits.

When the goods are put into storage:

Borrow: raw materials.

Credit: Supplies in transit.

The materials have arrived, but the month-end invoice has not arrived.

a. Provisional estimation and warehousing.

Borrow: Inventory goods - finished products xx raw materials.

Credit: Hand-blocked accounts payable - payable provisional warehousing.

b. Warehousing of other materials or products.

Borrow: Inventory goods - finished products xx raw materials (in red).

Credit: Accounts Payable - Provisional Valuation Payable (in red).

Borrow: Raw materials Inventory goods.

Tax Payable – VAT payable (input tax).

Credit: Bank deposits.

c. If the raw materials are used or the goods are sold during the provisional accounting period.

Borrow: raw materials (in red).

Credit: Generating Costs Production Expenses (in red).

Redo the cost:

Borrow: raw materials.

Credit: Incurred costs Production expenses.

Inventory features. 1. Compared with intangible assets, inventory is a tangible asset, and the economic benefits related to inventory are likely to flow into the enterprise.

2. Inventory has strong liquidity. In enterprises, inventory is often in the process of continuous sale, consumption, purchase or replacement, which has the characteristics of fast liquidity and obvious liquidity.

3. Inventory is time-sensitive and has the possibility of potential loss. In normal business activities, inventory can be converted into monetary assets or other assets on a regular basis, but for inventory that cannot be used for a long time, it may be turned into a backlog of goods or reduced in price**, resulting in losses for enterprises.

4. The state of inventory is variable. Raw materials are processed into products, although raw materials and products belong to inventory, but no matter the form, value, function of the inventory bridge potato cover has changed.

Enterprises are inseparable from raw materials in the business process, including raw materials and main materials, auxiliary materials, purchased semi-finished products, spare parts for repair, packaging materials, fuel, etc. So how do you make accounting entries for the purchase of raw materials?

Accounting for the purchase of raw materials.

1. Invoices and materials arrive at the same time, which is referred to as "single goods arrive at the same time".

Borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: Bank Deposits, Cash on Hand, Notes Payable.

2. The invoice has arrived, and the materials have not arrived, which is referred to as "the single arrival has not arrived":

Borrow: Supplies in transit.

Tax Payable – VAT payable (input tax).

Credit: Bank Deposits, Cash on Hand, Notes Payable.

When the materials in transit arrive, after the inspection is in the warehouse:

Borrow: raw materials.

Credit: Supplies in transit.

3. The materials have arrived, but the invoices have not arrived. Abbreviated as "Goods on delivery not arrived":

Borrow: Raw materials (provisional value).

Credit: Accounts Payable – Provisional accounts payable.

At the beginning of next month, the last entry will be rushed back in red

Borrow: raw materials (tentative value) (red-letter write-off).

Credit: Accounts payable for Kuanyan - Provisional accounts payable (red-letter reversal) wait until the invoice bill arrives:

Borrow: raw materials.

Tax Payable – VAT payable (input tax).

Credit: Bank Deposits, Cash on Hand, Notes Payable.

4. Purchase materials in advance payment. Abbreviated as "prepaid purchase":

When prepaying:

Debit: Advance payment (advance amount).

Credit: Bank deposits.

After receiving: borrowing: raw materials.

Tax payable - VAT payable (input tax).

Credit: Advance payments (actual amounts due).

Payment: Borrow: Prepaid Accounts (Difference between Prepaid and Payable) Credit: Bank Deposit.

Refund of overpayments:

Borrow: Bank deposit.

Credit: Wild and prepaid accounts (the difference between prepaid and payable).