476 Sublet Repairs – Body Shop

Sales

Fixed Operations

Sales Synopsis

Account 476 is established to record the amount of Body Shop repairs that are sub-contracted to outside suppliers and vendors.

Debits

Credits

 

  1. Actual selling price of Body Shop Sublet Repairs sold

  2. Actual selling price (at claim rate) of Body Shop Sublet Repairs for which Warranty And Transportation Claims are filed

 


676 Sublet Repairs – Body Shop

Cost of Sales

Fixed Operations

Cost of Sales Synopsis

Account 676 is established to record the Cost of Sales for the Sublet Body Shop repairs sold above.

Debits

Credits

  1. Actual cost of Body Shop Sublet Repairs sold

 

 

Example 1

Record a body shop repair order for $744 that includes towing from an outside company.  Both the body labor sale and paint labor sale are both $100 each.  The sublet repair is $75 and the part sale is $407 and the paint and body shop materials cost is $40.  The cost for both the body and paint labor is $30 each.  The cost of the sublet repair is $60.  The parts cost is $285 and the cost of the paint and body shop materials is $28.

Journal: Service Sales - Cash

Entry:

 

Debit

Credit

Account 225

Cash Sales

$744

 

Account 670

Cost of Sales – Customer Paint Labor – Cars & Trucks

$30

 

Account 671

Cost of Sales – Customer Body Labor – Cars & Trucks

$30

 

Account 676

Cost of Sales – Sublet Repairs – Body Shop

$60

 

Account 677

Cost of Sales – Parts – Body Customer Repair Orders – Cars & Trucks

$285

 

Account 679

Cost of Sales – Paint & Body Shop Materials

$28

 

Account 242

Inventory – Parts & Accessories

 

$285

Account 245

Inventory – Paint & Body Shop Materials

 

$28

Account 246

Inventory – Sublet Repairs

 

$60

Account 247B

Inventory – Work in Process – Body Shop

 

$60

Account 324

Accounts Payable – Sales Taxes

 

$22

Account 470

Sales – Customer Paint Labor – Cars & Trucks

 

$100

Account 471

Sales – Customer Body Labor – Cars & Trucks

 

$100

Account 476

Sales – Sublet Repairs – Body Shop

 

$75

Account 477

Sales – Parts – Body Customer Repair Orders – Cars & Trucks

 

$407

Account 479

Sales – Paint & Body Shop Materials

 

$40