CONSIGMENT ACCOUNT

CONSIGNMENT
JOURNAL ENTRIES TO BE THE BOOKS OF CONSIGNOR:
Consignor maintains a separate consignment account for goods sent to each agent. consignment account is profit or loss.
1. On sending goods to Consignment A/c ...Dr.
Consignee: Goods sent on consignment A/c
, (Being goods sent to agent for sale)
fiotct la e-ase- a consignor lias more t&aa one agent, separate consignment account is prepared J agent Each consignment account is identified with the name of place, for example 'Co to Karachi Ale or 'Consignment to Lahore A/c.
2. For expenses paid Consignment A/c
by consignor: Cash/Bank A/c
(Being expenses paid)
3. On receiving advance Cash/Bank A/c...
from consignee: Consignee A/c
(Being advance received from agent)
—
4. If consignee has accepted Bills Receivable A/c ...
a bill of exchange as an Consignee A/c
advance: (Being acceptance received from agent)

5. With the sale price of Consignee A/c
goods sold by consignee: Consignment A/c
(Being gpods sold by agent)
- ---- '
6. For goods taken over Consignee
by consignee for his Consignment A/c
personal use: (Being goods taken over by agent)
7. For expenses paid Consignment A/c .........
byAgent: Consignee
(Being expenses incurred by agent)
Note- If any of the expenses is borne by me agent personally, such expenses will not be consignment A/c. Consignor will not make anyentry for such expenses. These will be the Profit and Loss account in the books of Consignee.