Accounting entries:
Debit account 1521 2,569,543,714
Credit account 331 (CALCOT Company) 2,569,543,714
- Reflects the shortage of cotton: The seller has no additional specified stock.
Seller's compensation to Ha Nam Textile Company: Debit account 1388 (CALCOT Company) 60,235,124
Credit account 331 (CALCOT Company) 60,235,124
- VAT payable on imported goods
Debit account 1331 130,768,000
Credit account 33312 130,768,000
- Cost of shipping goods to warehouse
29,760,238 | |
Debit account 1331 | 1,488,012 |
Credit account 331 (Transportation company) | 31,248,250 |
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- Customs fees
Debit account 1521 30,000
Credit account 331 (Customs Department) 30,000
- On October 10, 2008, the Company paid VAT on imported goods by cash.
Debit account 33312 130,768,000
Credit account 112 130,768,000
2.2.4.5 General accounting of raw material exports
At Ha Nam Textile Company, materials are mainly exported to serve production, besides, some materials are also sold. Based on the purpose of export and related documents. The accountant records as follows:
- In case of exporting materials for direct use in production:
Debit account 621, 627, 641, 642
Have account 152
- In case of releasing materials for sale, based on the warehouse release note, the accountant determines:
Debit account 632
Have account 152
- In case the materials are exported to be processed at other units, the accountant will make the following entries:
Debit account 154
Have account 152
In cases of material reduction due to other reasons, the accountant records the Debit account 1381: Shortage without known cause.
Debit account 1388, 334: Shortage due to individual compensation
Have account 152
The following are the transactions that occurred in September 2008 that reduced raw materials of Ha Nam Textile Company.
In case of cotton export for sale
Example 01: On September 6, 2008, Ha Nam Textile Company sold cotton to Linh Phuong Textile Company Limited (Low Grade raw cotton) with a selling price of 1.65 USD/kg, the actual exchange rate on the day was 16,610 VND/USD. The total payment price was 576,228,365 VND (including 5% VAT). Based on the invoice (Appendix No. 2) and the warehouse delivery note dated September 6, 2008, the accountant made the following entries:
On September 6, 2008, the Company only recorded revenue immediately, but the cost of goods sold was recorded as the original quantity without value because the Company evaluated the inventory sold using the weighted average method. At the end of the month, based on the detailed summary table of raw materials, materials, tools, equipment, products, and goods (Appendix 7) , the accountant reflected the value in the cost of goods sold.
At the end of the month, record the value: 20,024.4 kg x 26,192.47 VND/kg = 524,488,496 VND
Debit account 632 524,488,496
Credit account 152 524,488,496
Revenue reflection
Debit account 131 (Linh Phuong Textile and Garment Company) 576,228,365 VND
Credit account 3331 27,439,446
Credit account 5115 548,788,919
In the case of exporting Cotton for production
Example 02: Based on the material request form of factory 1, factory 2, dated September 26, 2008. The warehouse department reviews the production situation of the Company and finds it appropriate, then creates a warehouse delivery form, then transfers the warehouse delivery form to the accountant. The accountant relies on warehouse delivery form 43, records the original quantity, because the Company evaluates inventory using the weighted average method. At the end of the month, based on the detailed summary table of raw materials, materials, tools, equipment, products, and goods (Appendix No. 7), the value of the exported goods is recorded.
At the end of the month, when the accounting unit price reflects the value of goods exported from the warehouse
Warehouse value for factory 1: 30,854,162 + 13,340,023 + 11,052,939 = 55,247,124 VND
Warehouse value for factory 2: 327,750,047 + 62,022,329 = 389,772,376 VND
Debit account 6211 (workshop 1) 55,247,124
Debit account 6211 (workshop 2) 389,772,376
Credit account 1521 445,019,500
2.2.4.6 Recording sequence
At the end of the accounting period, the original documents arising during the month are summarized. Original documents of the same type are listed in the document list. Then, they are recorded in the bookkeeping voucher or not in the list, they are directly recorded in the bookkeeping voucher.
Accountant prepares accounting documents (Appendix 6)
From the Accounting Vouchers, record them into the Voucher Register according to the order number established in the Voucher. The amount in the Voucher Register is taken from the last line of the Voucher.
(Excerpt) REGISTER OF ENTRANCE DOCUMENTS
September 2008
Account 152: Raw materials
Unit: Dong
Bookkeeping Documents
Abstract | Amount | ||
Number | Day | ||
……. | ……. | ………… | ……… |
10 | September 30 | Cotton imports | 3,652,588,719 |
11 | September 30 | Cotton export for sale | 524,488,496 |
12 | September 30 | Cotton imports | 2,569,543,714 |
13 | September 30 | Costs for import | 31,278,250 |
14 | September 30 | Cotton Export for Production | 445,019,500 |
15 | September 30 | Buy spare parts | 9,507,368 |
…… | ……. | …………….. | ………. |
(Excerpt) GENERAL LEADERSHIP
Account 1521 – Raw materials
September 2008
Unit: Dong
CTGS
Interpretation | SHTK corresponding | Amount | |||
Number | Day | In debt | Have | ||
B | C | D | E | 1 | 2 |
Opening balance | X | 119.249.379.518 | |||
…….. | …… | ……………. | …………. | ………. | ………. |
Cotton Import | 331 | 3,652,588,719 | |||
NBXC01/09 | 06/09 | Shipping costs | 331 | 59,360,000 | |
Customs fees | 331 | 30,000 | |||
XBB05/09 | 06/09 | Cotton export for sale | 632 | 524,488,496 | |
Cotton Import | 331 | 2,569,543,714 | |||
NBXC05/09 | 18/09 | Shipping costs | 331 | 31,248,250 | |
Customs fees | 331 | 30,000 | |||
XBXC43/09 | 26/09 | Cotton Export for Production | 6211 | 445,019,500 | |
……. | ……. | ………………… | …… | …….. | ………. |
Total generated | X | …………… | ………….. | ||
Total PS Releases cumulative | X | …………… | …………… | ||
Ending balance | X | …………… | ……………. | ||
Chapter 3: ORIENTATION AND SOLUTIONS
TO IMPROVE MATERIAL ACCOUNTING
YARN PRODUCTION AT HA NAM TEXTILE COMPANY
3.1 General comments on material management and accounting at the Company
After 10 years of construction and development, Ha Nam Textile Company has constantly strived and developed to demonstrate its potential. It can be said that Ha Nam Textile Company is one of the youngest and fastest growing enterprises, contributing a great deal to the budget of Ha Nam province. That demonstrates the utmost efforts of the staff and workers in the Company. The first department mentioned for this great achievement is the accounting department. Along with the growth of the Company, accounting work is also constantly improving and developing to meet the requirements of economic innovation. The company's accounting department is constantly being improved and reorganized to be more and more reasonable and effective to suit the scale and production and business activities of the company. Along with that development, accounting work in general, and material accounting in particular, is also constantly improving in all aspects, contributing significantly to the management and accounting of all production and business activities of the company.
During the internship to learn about material accounting at Ha Nam textile company, applying the knowledge learned into the company's reality, I realized that the company has many outstanding points but besides that, there are also some limitations that still exist.
3.1.1 Advantages
As a private enterprise with a large scale of production organization, the centralized accounting organization model operates very effectively. The company's accounting department is always uniform in terms of professional qualifications, approaches and implements the new accounting regime well, works scientifically with a high sense of responsibility and always supports and helps each other to excellently complete assigned tasks. The provision of data between accounting departments and the provision of data for accounting reports is generally timely. At the same time, it has provided leaders at all levels with accurate financial information so that leaders can make the right decisions to serve the management and operation of the company's production activities.
Accounting book form. The company applies the form of "bookkeeping vouchers", this form is completely suitable for the current scale of the company. The system of vouchers, books, and accounting reports that the company uses is relatively correct with the accounting regime. Therefore, the accounting work of the company is carried out quite smoothly, especially the accounting of raw materials. Although in the past there has been innovation in the accounting system, the company has quickly applied it flexibly, promptly, and effectively to suit the actual situation.
The Company's material management is closely linked from 3 stages: Purchasing, storage and use with strict management in terms of both physical and value. There is smooth coordination between the warehouse, materials and accounting workshops. This has brought efficiency to the Company's material management. Specifically, consider each management perspective:
+ From the purchasing stage: The Company always builds and implements a plan to purchase raw materials. Although the volume of raw materials is large and of many diverse and rich types, the Company still fully meets production requirements, does not interrupt the production process, helping the production process and the Company's production plan to be completed on schedule.
+ In the stage of preservation and storage: The Company's warehouse system is built to ensure compliance with regulations in the management of goods, especially for cotton materials. Together with a team of experienced warehouse managers with a high sense of responsibility, the organization, preservation, and delivery of materials are carried out very well.
Regarding raw material reserves: The company always ensures that the amount of reserves in the warehouse meets the demand in a timely manner.
all production requirements.
+ For the usage stage: The demand for materials in the workshops is approved by the material and technical department based on the plan and standards. Therefore, the Company has managed materials in production in a reasonable way, saving material costs in product prices.
Detailed material accounting: There is coordination between the warehouse and the accountant, the data reconciliation between the warehouse keeper and the accountant is carried out closely, without duplication. The warehouse keeper uses the warehouse card to reconcile with the accountant's detailed book at the end of the period. In addition, the flexible construction of a detailed list of imported materials according to each source of import and recording according to
The code sequence of the input source is not only convenient for comparing data with other
general ledger but also more closely manage the debt situation with suppliers.
For general material accounting: The Company applies inventory accounting according to the regular declaration method to account for materials, which is suitable for the actual situation of the Company, meeting the requirements of regular and continuous monitoring of material fluctuations. To account for detailed materials, the Company's accountants use the parallel card recording method for comparison, which is very convenient. Recording and calculating are simple, easy to check, easy to compare not only between warehouse keepers but also within the accounting department.
Calculating the price of materials in stock: The accounting company uses the weighted average method. This is completely suitable for the company because the company has used machine accounting, this method becomes simple and easy to check.
The application of parallel card method to account for material details and regular declaration method to account for inventory has helped the Company monitor fluctuations, import, export and inventory of materials, thereby reducing costs and lowering product prices.
Regarding material inventory: At Ha Nam Textile Company, inventory is conducted once a month and is carried out quite seriously. Inventory results are recorded in inventory records, each warehouse makes a separate record. The record shows the name of materials, unit of measure, actual inventory quantity, shortage quantity and classification and evaluation of each type of material.
The company has used machine accounting to support material accounting, with a very detailed and specific material list system. Creating favorable conditions for material accounting. Therefore, accounting is done accurately, promptly reducing the workload and avoiding errors, promptly meeting the increasingly demanding management requirements in the market economy.
Faced with the current complex economic fluctuations, enterprises in general and Ha Nam Textile Company in particular must always find ways to innovate and improve themselves, overcome shortcomings, and develop their full potential and internal strength in order to survive and develop. Recognizing this situation, Ha Nam Textile Company pays special attention and always improves its management work, constantly promoting its