Capturing Free Stock Bookkeeping Question

by JayJay
(Cape Town, South Africa)

Free Stock

My supplier has given us free trading stock as an incentive to sell his products.

How do I capture this?

I know that I debit stock but what account should I credit?

Would I need to create an "other income" account for this?

Kind Regards
JJ

Stock for Assets

When I incorporated as s-corp from sole prop i was given 100% of the stock for all assets under sole prop, how do i report this into quickbooks, is it a loan.

Confused
Thanks

Stocktaking Question

hi,

just wondering,

i am confused by the stocktake process. for example the trading account has purchases and opening stock valued at cost which makes sense but doesnt a stocktake involve counting all the stock on a shop floor(which will be valued at selling price therefore including differing VAT rates and different profit margins)?? see example below.




--------------------------------------------------------Opening Stock 4500 Sales 4823
Purchases 1123
Cost Goods Avail 5623
Closing Stock 2000 1223
Cost Sales 3623 4400
Gross Profit 1200 423



in the example above the closing stock figure of 2000 is the clunted stock figure including VAT and profit margin which to me is incorrect. the pink figure of 1223 is the actual cost of the stock on the shop floor.

how does stocktaking get me the correct gross profit,of 423 above if closing stock figure is actually 1223?

Value of Stock

by Tehseen
(Manchester,UK)

I have just completed a bookkeeping course and started working with a bookkeeper on a voluntary basis. He has given me some accounts to prepare. One of the things i have to do is determine the stock value at the end of month. How do I do that;i am completely confused?

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