How to sell records for cash
How to record a Cash Sale?
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do you know what a cash show is and how
to record it i'm thomas harwood and
welcome to the accounting student where
we create free and short videos so that
you can learn about accounting today's
video is looking at how to record a cash
sale
first of all a sale can be described as
a goods or services sold to a customer
there are two main types of sales they
are cash sales and credit cells in this
video we are going to look at cash sales
because this type is the most common
type out of the two a cash sale is where
goods or services were sold to a
customer and the customer pays by cash
or any other payment method at the time
of sale when there is a cash sale of
stock or inventory we enter the credit
entry in the sales t account and the
corresponding debit entry will be in the
bank or cash t account let's now look at
how sales of stock in cash is treated in
their accounts on the 2nd of july
2016 goods were sold for 35 pounds with
the cash being received immediately at
the time of sale from the customer first
we will look at the recording of the
sale in the sales account for this
transaction we would enter the details
on the credit side of the t account the
transaction took place on the 2nd of
july 2006
which can be shown as 2
7
16. then we will note it as cash in the
detail column because that is the name
of the other account that has been
affected during the transaction and 35
is entered in the pound column now we
will look at the recording of the sale
in the cash account for this transaction
we would enter the details on the debit
side of the t account the transaction
took place on the same date which can be
shown as 2
7
16. then we will note it as sales in the
detail column because that is the name
of the other account that has been
affected during the transaction and
finally 35 is entered in the pound
column so that was demonstrating how to
record a cash sale if you enjoyed it
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