Introduction to Consignment Accounting: Basic Journal Entries

The video tutorial covers the essential aspects of consignment accounting, focusing on journal entries, ledger accounts, and the roles of consigner and consignee. It explains the necessary steps for recording transactions, handling expenses, and determining profit or loss. The tutorial also discusses the final settlement process and the closure of ledger accounts, providing a comprehensive understanding of consignment accounting practices.

What are the basic journal entries required in consignment accounting?

Explain the purpose of the consignment account in the books of the consigner.

What accounts are typically prepared in the books of the consignee?

Describe the journal entry for goods sent on consignment.

How are expenses related to consignment recorded in the books of the consigner?

How should advances given by the consignee to the consigner be recorded?

What is the treatment of sales made by the consignee in the consigner's books?

Explain the accounting treatment for commission in consignment accounting.

What entries are made for closing stock in consignment accounting?

What is the process for closing the consignment account at the end of the accounting period?