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sarahpollat
Oct 22, 2012, 01:27 PM
Sold pipe and plumbing materials to Boecker Builders on account, invoice No. 1210 for $45,040.
I know I have to debit accounts receivable and credit a sales account. But what Sales account would it be??
If it is Sales Revenue then I don't understand why?

paraclete
Oct 22, 2012, 01:30 PM
Revenue is another way of saying income so yes you will credit sales and what you call the account is up to you. You may have a number of sales accounts to keep a record of various types of sales and these will be aggregated when you come to prepare financial reports

sarahpollat
Oct 22, 2012, 01:41 PM
Sold pipe and plumbing materials to Boecher Builders on account, invoice No. 1210 for $45,040.

I know that you debit accounts receivable and credit the sales accout that is belongs to but I have no idea what sales account it would go under.
If it is Sales revenue then I don't understand why?
Please give me some guidance!
:)
Thanks!
Sarah

paraclete
Oct 22, 2012, 02:07 PM
What sort of guidance are you seeking? We cannot see your chart of accounts. It is sales revenue because revenue is income and sales are a form of revenue or income. Just reasking a question over and over doesn't make your problem plainer as you have already identified
Debit accounts receivable (sub account Boecher)
Credit sales (sub account ?)

sarahpollat
Oct 22, 2012, 03:10 PM
Guess what you don't have to be an I didn't mean to re post the question!