Hi Friends,
In the ORDER 2 CASH cycle, where will be created first journal entry? what is the entry?
Please give me reply.
Thanks,
Madhusudhan.
order 2 cash
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- Posts: 46
- Joined: Tue Aug 11, 2009 2:51 am
- Location: India
It depends on the item you sell. In the case of inventory items, first accounting entry will be in shipment of goods. As soon as shipment is done, the accounting entry will be
COGS - Dr
To Inventory
In the case of Service items, there will not be any shipment, hence AR invoice will be the first transaction to create the accounting entries.
Cheers,
Saravanan
COGS - Dr
To Inventory
In the case of Service items, there will not be any shipment, hence AR invoice will be the first transaction to create the accounting entries.
Cheers,
Saravanan
-
- Posts: 46
- Joined: Tue Aug 11, 2009 2:51 am
- Location: India
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