Working on VT I've just input up to year end for my client who owns a shop selling bits and pieces. They have recently donated an item to a local school for their fair and I have no idea how to input this as no money was exchanged just a stock item? Please help?
For very small donations the way that I would go with this is argue that it was marketing the business with the intent to build local goodwill (did they perhaps get a mention in the school newsletter?)
As such,
Cr stock account the cost of the asset (not its normal selling value)
Dr Advertising
HTH,
Shaun.
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Shaun
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