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To reduce accounting for scrap a minimum, often no entry is made until the scrap is actually sold. At that time, cash or accounts receivable is debited while scrap sales is credited. This method is expedient and is justified when a more accurate accounting becomes expensive and burdensome, the scrap value is relatively small, or the price is uncertain.
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WhatsAppGet PriceGet A QuoteAccounting and Records, Page 1 of 2 Cash-basis Accounting Single-entry record keeping Double-entry record keeping Accrual-basis Accounting These each have merit, purpose, and applicability.
WhatsAppGet PriceGet A Quotecrusher company accounting entries
To reduce accounting for scrap a minimum, often no entry is made until the scrap is actually sold. At that time, cash or accounts receivable is debited while scrap sales is credited. This method is expedient and is justified when a more accurate accounting becomes expensive and burdensome, the scrap value is relatively small, or the price is uncertain.
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