{"id":2506,"date":"2019-09-28T05:35:21","date_gmt":"2019-09-28T05:35:21","guid":{"rendered":"https:\/\/commerceiets.com\/?p=2506"},"modified":"2019-09-28T05:35:21","modified_gmt":"2019-09-28T05:35:21","slug":"accounting-treatment-of-consignment","status":"publish","type":"post","link":"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/","title":{"rendered":"ACCOUNTING TREATMENT OF CONSIGNMENT"},"content":{"rendered":"\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/#ACCOUNTING_TREATMENT_OF_CONSIGNMENT\" title=\"ACCOUNTING TREATMENT OF CONSIGNMENT\">ACCOUNTING TREATMENT OF CONSIGNMENT<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/#IN_THE_BOOKS_OF_CONSIGNOR\" title=\"IN THE BOOKS OF CONSIGNOR\">IN THE BOOKS OF CONSIGNOR<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/#IN_THE_BOOKS_OF_CONSIGNEE\" title=\"IN THE BOOKS OF CONSIGNEE\">IN THE BOOKS OF CONSIGNEE<\/a><\/li><\/ul><\/nav><\/div>\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"ACCOUNTING_TREATMENT_OF_CONSIGNMENT\"><\/span><strong>ACCOUNTING TREATMENT OF CONSIGNMENT<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p class=\"has-medium-font-size\"><a href=\"https:\/\/commerceiets.com\/consignment\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\"Consignment  (opens in a new tab)\">Consignment <\/a>is a specialized kind of transaction which involves the two parties i.e. Consignor and Consignee. In this the consignor dispatches the goods to the consignee and consignee is required to sell those goods. For this, the consignee gets a commission. Consignment is a nature of transaction that leads to the expansion of business. The legal relationship between the consignor and consignee is of the agent and the principal. The Accounting Treatment of Consignment is as follows:<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"IN_THE_BOOKS_OF_CONSIGNOR\"><\/span>IN THE BOOKS OF CONSIGNOR<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"has-medium-font-size\">In order to keep the full record of the various transactions\nregarding the consignment, the consignor opens the following accounts in his\nbooks:<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>CONSIGNMENT ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>This is a Nominal Account.<\/li><li>This is prepared to find out the profit or loss\nof the concern.<\/li><li>It is named with the consignee or the place.<\/li><li>All the expenses on the consignment are debited\nto this account.<\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>CONSIGNEE\u2019S ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>This is the personal account.<\/li><li>The gross sale proceeds are debited in this\naccount.<\/li><li>The advance given by consignee is credited in\nthis account.<\/li><li>An expense incurred by the consignee, commission\ndue to him is credited in this account.<\/li><li>Balance of this account shows the amount due\nfrom the consignor.<\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>GOODS SENT ON CONSIGNMENT ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>It is a real account.<\/li><li>The goods sent on consignment are credited in\nthis account.<\/li><li>The goods returned by the consignee are debited\nin this account.<\/li><li>This account is closed by transferring the\nbalance amount to either Trading Account or Purchases Account.<\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>STOCK ON CONSIGNMENT ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>This is the real account.<\/li><li>It records the unsold goods with the consignee\nat the end of the year.<\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>CONSIGNMENT STOCK RESERVE ACCOUNT<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\">In those cases where the goods, are consigned to consignee\nat invoice price or \u2018cost plus profit basis\u2019 and at the end of the year, a\nportion of goods remain unsold. This account is opened to adjust the effect of\nexcess of invoice price over the cost price, in order to arrive at true profit.<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>JOURNAL ENTRIES<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\">There are three methods of accounting for consignment:<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"960\" height=\"720\" src=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/09\/Slide2-5.jpg\" alt=\"METHODS OF KEEPING CONSIGNMENT ACCOUNTS\" class=\"wp-image-2511\" srcset=\"https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/09\/Slide2-5.jpg 960w, https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/09\/Slide2-5-300x225.jpg 300w, https:\/\/commerceiets.com\/wp-content\/uploads\/2019\/09\/Slide2-5-768x576.jpg 768w\" sizes=\"(max-width: 960px) 100vw, 960px\" \/><\/figure>\n\n\n\n<p class=\"has-pale-cyan-blue-background-color has-background has-medium-font-size\"><strong>COST PRICE METHOD<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>   Goods sent by consignor on Consignment:<br \/><\/strong>   Consignment A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp; To Goods sent on   Consignment A\/c   <\/td><\/tr><tr><td><strong>   Expenses incurred by Consignor:<br \/><\/strong>   Consignment A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Cash Account.   <\/td><\/tr><tr><td><strong>   Goods sold by Consignee:<br \/><\/strong>   Consignee A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment Account    <\/td><\/tr><tr><td><strong>   Expenses incurred by the Consignee:<br \/><\/strong>   Consignment A\/c&nbsp;&nbsp; Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignee A\/c   <\/td><\/tr><tr><td><strong>   Profit on Consignment:<br \/><\/strong>   Consignment A\/c&nbsp;&nbsp; Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Profit and Loss Account   <\/td><\/tr><tr><td><strong>   Loss on Consignment:<br \/><\/strong>   Profit and Loss A\/c&nbsp;&nbsp; Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment A\/c   <\/td><\/tr><tr><td><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>FORMAT OF CONSIGNMENT ACCOUNT<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>   DATE   <\/strong><\/td><td><strong>   PARTICULARS   <\/strong><\/td><td><strong>   AMOUNT   <\/strong><\/td><td><strong>   DATE   <\/strong><\/td><td><strong>   PARTICULARS   <\/strong><\/td><td>   <strong>AMOUNT   <\/strong><\/td><\/tr><tr><td>\n  &nbsp;\n  <\/td><td>To Goods sent on consignment A\/c (at cost)   <br \/>To Cash A\/c (Expenses of consignor)   <br \/>To Consignee\u2019s A\/c   (Expenses of consignee)   <br \/>To Consignee\u2019s A\/c   (Commission of consignee)   <br \/>To Profit and Loss A\/c   (Profit on consignment)   <\/td><td>\n  &nbsp;\n  <\/td><td>\n  &nbsp;\n  <\/td><td>By Consignee\u2019s A\/c   (For sales made on consignment)   <br \/>By consignment on stock A\/c   (with cost or market price- least)   <br \/>By Profit and Loss A\/c (for loss on consignment)   <\/td><td>\n  &nbsp;\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"has-pale-cyan-blue-background-color has-background has-medium-font-size\"><strong>INVOICE PRICE METHOD<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\">In many cases, the consignor makes the invoice at the\nselling price i.e. Proforma Invoice Price. The idea is that the consignee\nshould not know the actual cost of the goods. In such case, the entries are\nmade by the consignor in his books at the invoice price.&nbsp; But to find out the actual profit or loss,\nthe sale proceeds must be compared with the actual profit.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td>\n  &nbsp;\n  <\/td><td><strong>   When goods are invoiced at cost   <\/strong><\/td><td><strong>   When goods are invoiced at loading price   <\/strong><\/td><\/tr><tr><td><strong>   FOR GOODS SENT ON CONSIGNMENT   <\/strong><\/td><td>   Consignment A\/c Dr.   &nbsp;&nbsp;&nbsp;&nbsp; <br \/>To goods sent on   consignment A\/c   (with cost of goods)   <\/td><td>   Consignment A\/c Dr.   &nbsp;&nbsp;&nbsp; <br \/>To Goods sent on   consignment A\/c   (with invoice price of goods)   <br \/>Goods sent on consignment A\/c Dr.    &nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br \/><br \/>To Consignment A\/c   (with the amount of loading)    <\/td><\/tr><tr><td><strong>   FOR GOODS RETURNED BY CONSIGNEE   <\/strong><\/td><td>   Goods sent on consignment A\/c&nbsp;&nbsp;   Dr.<br \/>   &nbsp;&nbsp;&nbsp; To Consignment A\/c   (with cost of goods)   <\/td><td>   Goods sent on consignment A\/c&nbsp;&nbsp;   Dr.<br \/>   &nbsp;&nbsp;&nbsp; To Consignment A\/c   (with cost of goods)   <br \/>Consignment A\/c Dr.<br \/>   &nbsp;&nbsp; To goods sent on consignment   A\/c   (with amount of loading)   <\/td><\/tr><tr><td><strong>   FOR OPENING STOCK   <\/strong><\/td><td>   Consignment A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment Stock A\/c   (with cost price of opening stock)   <\/td><td>   Consignment A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment Stock A\/c   (with invoice price of opening stock)<br \/>   Consignment Stock A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment A\/c   (with amount of loading)   <\/td><\/tr><tr><td><strong>   FOR CLOSING STOCK   <\/strong><\/td><td>   Consignment Stock A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment A\/c   (with cost price of closing stock)   <\/td><td>   Consignment A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignment Stock A\/c   (with invoice price of opening stock)   <br \/>Consignment Stock A\/c Dr.   &nbsp;&nbsp;&nbsp;&nbsp; <br \/>        To Consignment A\/c   (with amount of loading)   <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"has-pale-cyan-blue-background-color has-background has-medium-font-size\"><strong>MEMORANDUM COLUMN METHOD<\/strong><\/p>\n\n\n\n<p class=\"has-medium-font-size\">This method is a mixture of both cost price and invoice\nprice method. Two columns are made to record the cost price and the invoice\nprice of the goods consigned. There is no need for passing the entries for\nremoval of both loading as both invoice and cost values are shown in the\nseparate columns. The cost column shows the profit or loss.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"IN_THE_BOOKS_OF_CONSIGNEE\"><\/span>IN THE BOOKS OF CONSIGNEE<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"has-medium-font-size\">The consignee makes the accounts relating to consignment to\neffect the settlement with the consignor and to recognize his commission\nentitlement as consignee. To achieve these objectives, he prepares the\nfollowing two accounts:<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>CONSIGNOR\u2019 PERSONAL ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>This is personal account. <\/li><li>A separate consignor account is prepared in\nrespect of every consignment.<\/li><li>It is debited with the expenses incurred,\ncommission earned by consignee, advance given to the consignor.<\/li><li>It is credited with the value of goods sold.<\/li><li>The balance of this account will show the amount\ndue to or due from the consignor.<\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>COMMISSION ACCOUNT<\/strong><\/p>\n\n\n\n<ul><li>This account is nominal in nature. <\/li><li>It is credited with the commission earned by the\nconsignee.<\/li><li>It is transferred to Profit and Loss Account. <\/li><\/ul>\n\n\n\n<p class=\"has-medium-font-size\"><strong>JOURNAL ENTRIES<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><\/td><\/tr><tr><td><strong>   Advance sent by consignee to Consignor:   <br \/><\/strong>Consignor A\/c Dr.<br \/>    &nbsp;&nbsp; To Cash\/ Bank    <\/td><\/tr><tr><td><strong>   Goods sold by Consignee:   <br \/><\/strong>Cash A\/c Dr. (on cash basis)   <br \/>Debtor A\/c Dr. (on credit basis)<br \/>   &nbsp;&nbsp;&nbsp;&nbsp; To Consignor A\/c   <\/td><\/tr><tr><td><strong>   Expenses incurred by consignee:   <br \/><\/strong>Consignor A\/c Dr.<br \/>   &nbsp;&nbsp;&nbsp; To Cash Account   <\/td><\/tr><tr><td><strong>   Commission due to consignee:   <br \/><\/strong>Consignor A\/c Dr.   &nbsp;&nbsp;&nbsp;&nbsp; <br \/>     To Commission A\/c   <\/td><\/tr><tr><td><strong>   Amount sent by consignee against sale proceeds:   <br \/><\/strong>Consignor A\/c&nbsp; Dr. <br \/>  &nbsp;&nbsp;&nbsp;&nbsp; To Cash A\/c   <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link\" href=\"https:\/\/www.linkedin.com\/in\/kajal-mahajan-7549b2197\/\" target=\"_blank\" rel=\"noreferrer noopener\">CONNECT ON LINKEDIN<\/a><\/div>\n<\/div>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Also Study<\/strong><\/td><td><strong>Also Study<\/strong><\/td><td><strong>Also Study<\/strong><\/td><td><strong>Also Study<\/strong><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting\/\"><strong>Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/non-profit-organisation\/\"><strong>Non profit organisation<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/depreciation\/\"><strong>Depreciation<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/liquidity-ratios-types\/\"><strong>Liquidity ratios<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/nature-of-accounting\/\"><strong>Nature of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/receipt-and-payment-account-pdf\/\"><strong>Receipts and Payments Account<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/depreciation-accounting\/\"><strong>Depreciation Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/acid-test-ratio-formula\/\"><strong>Acid Test Ratio<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/benefits-of-accounting\/\"><strong>Benefits of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/scope-of-accounting\/\"><strong>Scope of accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/hire-purchase-accounting-notes-pdf\/\"><strong>Hire Purchase Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/cash-ratio\/\"><strong>Cash Ratio<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/difference-between-cost-accounting-and-financial-accounting\/\"><strong>Difference between cost accounting and financial accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-financial-accounting-management-accounting-and-cost-accounting\/\"><strong>Financial accounting, cost accounting and management accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-hire-purchase-and-instalment\/\"><strong>Difference between hire purchase and instalment system<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/financial-ratio-analysis\/\"><strong>Financial ratio analysis<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/difference-between-transaction-and-event\/\"><strong>Difference between transaction and event<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/transactions\/\"><strong>Transactions<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/users-of-accounting\/\"><strong>Users of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/current-ratio-formula\/\"><strong>Ratio analysis<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/limitations-of-accounting-2\/\"><strong>Limitation of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/capital-expenditure\/\"><strong>Capital Expenditure<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/instalment-system\/\"><strong>Instalment System<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-consignment-and-sale\/\"><strong>Difference between consignment and sale<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/book-keeping\/\"><strong>Book Keeping<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/revenue-expenditure\/\"><strong>Revenue Expenditure<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/reserves-accounting\/\"><strong>Reserves Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-normal-and-abnormal-loss\/\"><strong>Abnormal loss vs normal loss in consignment<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accountancy\/\"><strong>Accountancy<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-capital-expenditure-and-revenue-expenditure\/\"><strong>Difference between capital and revenue expenditure<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/reserves-accounting\/\"><strong>Provisions&nbsp;<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/treatment-of-loss-on-consignment\/\"><strong>Treatment of loss on consignment<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting-is-an-art-or-science\/\"><strong>Accounting as science or an art<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/accounting-equation\/\"><strong>Accounting Equation<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/single-entry-system-in-accounting\/\"><strong>Single entry system<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/\"><strong>Accounting treatment of consignment<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting-is-an-art-or-science\/\"><strong>Book Keeping vs accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/deferred-revenue-expenditure\/\"><strong>Deferred Revenue Expenditure<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/statement-of-affairs-and-balance-sheet-difference\/\"><strong>Difference between statement of affairs and balance sheet<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-joint-venture-and-consignment\/\"><strong>Joint venture vs consignment<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting-is-an-art-or-science\/\"><strong>Book keeping vs accountancy<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/capital-receipt\/\"><strong>Capital receipt<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/ifrs\/\"><strong>IFRS<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/departmental-accounting\/\"><strong>Departmental Accounting<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting-is-an-art-or-science\/\"><strong>Accounting vs accountancy<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/revenue-receipt\/\"><strong>Revenue receipt<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/balance-sheet\/\"><strong>Balance Sheet<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/methods-of-departmental-accounting\/\"><strong>Methods of departmental accounting<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/basis-of-accounting\/\"><strong>Basis of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-capital-and-revenue-receipt\/\"><strong>Difference between capital and revenue receipt<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/profit-and-loss-account\/\"><strong>Profit and loss Account<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/allocation-of-expenses-in-departmental-accounting\/\"><strong>Allocation of expenses in departmental accounting<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/branches-of-accounting\/\"><strong>Branches of accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-accounting-concepts-and-conventions\/\"><strong>Difference between accounting concepts and conventions<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/trading-account\/\"><strong>Trading Account<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/inter-departmental-transfers\/\"><strong>Inter-departmental transfers<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/cash-and-mercantile-system-of-accounting\/\"><strong>Cash and mercantile system of accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/accounting-standards\/\"><strong>Accounting Standards<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/voyage-account\/\"><strong>Voyage Account<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/different-types-of-branches\/\"><strong>Different types of branches<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/accounting-principles\/\"><strong>Accounting Principles<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/objectives-of-accounting\/\"><strong>Objectives of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/accounting-for-incomplete-voyage\/\"><strong>Accounting for Incomplete Voyage<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-departmental-and-branch-accounting\/\"><strong>Departmental vs Branch accounting<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/golden-rules-of-accounting\/\"><strong>Golden ru\nles of accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/process-of-accounting\/\"><strong>Process of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/joint-venture\/\"><strong>Joint venture<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/methods-of-branch-accounting\/\"><strong>Methods of branch accounting<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/double-entry-system-of-accounting\/\"><strong>Double entry system of book keeping<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/scope-of-accounting\/\"><strong>Scope of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-joint-venture-and-partnership\/\"><strong>Joint Venture Vs Partnership<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/incorporation-of-branch-trial-balance\/\"><strong>Incorporation of branch trial balance<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/difference-between-double-single-entry-system\/\"><strong>Double entry vs Single entry system<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-accounting-concepts-and-conventions\/\"><strong>Accounting Concepts vs Accounting conventions<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/methods-of-recording-transactions-in-joint-venture\/\"><strong>Methods of recording transactions in Joint Venture<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/garner-vs-murray-rule\/\"><strong>Garner VS Murray Rule<\/strong><\/a><\/td><\/tr><tr><td><a href=\"https:\/\/commerceiets.com\/history-of-accounting-pdf\/\"><strong>History of Accounting<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/difference-between-provisions-and-reserves\/\"><strong>Difference between provisions and reserves<\/strong><\/a><\/td><td><a href=\"https:\/\/commerceiets.com\/consignment\/\"><strong>Consignment<\/strong><\/a><\/td><td><\/td><\/tr><\/tbody><\/table><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>ACCOUNTING TREATMENT OF CONSIGNMENT Consignment is a specialized kind of transaction which involves the two parties i.e. Consignor and Consignee. In this the consignor dispatches the goods to the consignee and consignee is required to sell those goods. For this, the consignee gets a commission. Consignment is a nature of transaction that leads to the&#8230;<\/p>\n<p class=\"more-link-wrap\"><a href=\"https:\/\/commerceiets.com\/accounting-treatment-of-consignment\/\" class=\"more-link\">Read More<span class=\"screen-reader-text\"> &ldquo;ACCOUNTING TREATMENT OF CONSIGNMENT&rdquo;<\/span> &raquo;<\/a><\/p>\n","protected":false},"author":2,"featured_media":2510,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[166],"_links":{"self":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/2506"}],"collection":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/comments?post=2506"}],"version-history":[{"count":0,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/posts\/2506\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media\/2510"}],"wp:attachment":[{"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/media?parent=2506"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/categories?post=2506"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/commerceiets.com\/wp-json\/wp\/v2\/tags?post=2506"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}