What is the journal entry for cost of sale?

thanks for the invite.  Dr COS, Cr Inventory & purchase

Thanks for invitation,

- A sales journal entry is a journal entry in the sales journal to record a credit sale of inventory.

- All of the cash sales of inventory are recorded in the cash receipts journal and all non-inventory sales are recorded in the general journal.

- Since a sales journal entry consists of selling inventory on credit, four main accounts are affected by the business transaction: the accounts receivable and revenue accounts as well as the inventory and cost of goods sold accounts.

- When a piece of merchandise or inventory is sold on credit, two business transactions need to be record. First, the accounts receivable account must increase by the amount of the sale and the revenue account must increase by the same amount. This entry records the amount of money the customer owes the company as well as the revenue from the sale.

Second, the inventory has to be removed from the inventory account and the cost of the inventory needs to be recorded.

- So a typical sales journal entry debits the accounts receivable account for the sale price and credits revenue account for the sales price. Cost of goods sold is debited for the price the company paid for the inventory and the inventory account is credited for the same price.

When the continuous inventory system is followed, the cost of the goods sold is recognized at each sale.

First: Sale: -

Of h / clients.

    To sales.

Second: Cost limitation:

Of h / cost of goods sold.

      To h / inventory

CR. 1) inventory   2) marketing  and sales expensess (such as commission and advertising )

Is how much the seller sells from the goods he owns per day

Accounts receivable Dr

                  Cost of goods Cr

                   Revenue Cr

Cost of sales debit

Inventory        credi