Shipping Charges (Expense) Management

Discussion in 'Microsoft Accounting' started by k2ski3, Feb 18, 2008.

  1. k2ski3

    k2ski3 Guest

    I have entered an item for shipping in MOA 2007 to track customer order
    shipping costs which are charged to the customer.

    Since it is an item, the "shipping" item is recognized as operating income.

    What is the best method to manage the actual shipping expenses so my balance
    sheet is accurate? Do I create a customer or vendor for my shipping providers
    and invoice myself for each item?

    I really hope their is a better way that I can automatically generate the
    expense record from the customer order-invoice instead of having to remember
    to create a seperate log entry each time.

    Thanks for your time & help!
    k2ski3, Feb 18, 2008
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  2. k2ski3

    DL Guest

    Shipping could be considered a Cost of Sales as apposed to general expense.
    In the creation of the Invoice, in the Products Section add an Account
    (Postage & delivery or whatever).
    If you want the Balance sheet to reflect sales less Cost of Sales you would
    need to add a shipping Account in the Cost of Sales group of your Chart of
    DL, Feb 18, 2008
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