allocation of certain transactions
I'm new to this whole accounting thing and was therefore wondering if someone can help me out here.
I own a childcare centre, and i purchase supplies from coles and Bunnings almost on weekly basis. I was therefore wondering under what category are these supplies meant to be??
Thanks
Hi TonySaba
Thanks for your post and welcome to the Community Forum.
We're not permitted to advise on the accounts you should allocate purchases to, you would need to speak to your accountant about that.
I can give you some information on the difference between Expense and Cost of Sales accounts though:
Cost of Sales - purchases directly associated with providing your service or sale
Expenses - expenses related to running your business eg, wages, utilities, accounting software
Please don't hesitate to post again if you need further help.
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