Service Contract

by Donna
(Raleigh, NC)

How do you book a two-year service contract that is being paid monthly? The issue really is how does it offset the labor used if and when service is required?

Thanks!

Click here to post comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Bookkeeping Questions and Answers.

Valuation of Services

by Simon
(Sussex, UK)

A usual charge for a sale of an advanced teaching service from School A is £250.

However a Customer performs some duties for School A (ie some cooking/cleaning/teaching a less advanced subject in the school) and therefore only pays £100 for the service usually costing £250.

Should Business A record the sale at only £100? Or should the sale be recorded at £250 with £150 allocated to the particular expense?

Click here to post comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Bookkeeping Questions and Answers.


Please subscribe to my monthly newsletter, Bookkeeping Basics E-zine. It tells you each month about the new information that I have added, including some great tips and advice from myself and other Bookkeeping Basics readers.


Enter Your E-mail Address
Enter Your First Name (optional)
Then

Don't worry — your e-mail address is totally secure.
I promise to use it only to send you Bookkeeping Basics E-Zine.

Like Bookkeeping-Basics.net?