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    Jenni007's Avatar
    Jenni007 Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Jun 25, 2008, 10:26 AM
    Ledger postings for sale of inventory item
    Hello.
    Can anyone confirm the general ledger postings for the sale of an inventory item?
    Really would appreciate your help.

    Thank you.
    Jenni
    Criado's Avatar
    Criado Posts: 142, Reputation: 15
    Junior Member
    		  
    #2

    Jun 28, 2008, 11:16 AM
    There are two ways to journalize the entry depending on Inventory System you're using.

    Under the Periodic Inventory System,
    Debit. Cash or Accounts Receivable
    Credit. Sales

    Under the Perpetual Inventory System,
    Debit. Cash or Accounts Receivable
    Credit. Sales

    Debit. Cost of Goods Sold
    Credit. Inventories
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