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View Full Version : How do I allocate the cost of a workshop error in my ledger


accountantnovic
Nov 24, 2014, 02:16 AM
A staff member accidentally broke the rear drum of a customers vehicle which had to be replaced at company expense. How do I allocate this to my ledger accounts?

paraclete
Nov 24, 2014, 09:10 PM
Depending upon the circumstance
Debit public liability expense credit cash
Debit warranty expense credit cash
Debit public relations expense credit cash