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| Journals for receipt of item with locked estimate | Debit | Credit | Estimate of $20 costs |
|---|---|---|---|
| Stock on Hand - assets - Credit | 120 | Increase in stock value | |
| Trade Creditors Liabilities - Debit | 100 | Amount paid to stock supplier | |
| Landed cost clearing account - liabilities - Debit | 20 | Total allocated cost other costs for these items based on the estimate | |
| Totals | 120 | 120 | |
| Payment Journal for a cost paid (customs) - no changes required | Payment of $25 costs | ||
| Trade Creditors - Liabilities - Debit | 25 | ||
| General Cheque Account - Assets | 25 | ||
| Totals | 25 | 25 | |
| Adjustment journal required once actuals are associated | Adjustment of stock from $20 estimate to $25 Actual | ||
| Landed Cost Expenses To Stock - Expense Account - Debit | 25 | Expense account tracking landed costs in separate account | |
| Landed cost clearing account - liabilities - debit | 20 | Clear the clearing account of the estimate value | |
| Stock on Hand - Assets - Credit | 5 | Update the stock on hand with the increase (Decrease) in value required | |
| Totals | 25 | 25 | |
| Adjustment Journal if Actuals are used prior to stock receipt | When $25 actuals are known prior to receipt of stock | ||
| Stock on Hand - assets - Credit | 125 | Increase in stock value | |
| Trade Creditors Liabilities - Debit | 100 | Amount to be paid to stock supplier | |
| Landed cost expenses to stock - expense account - Debit | 25 | Expense account tracking landed costs in separate account | |
| Totals | 125 | 125 |
So two new control accounts have been added to Maintain GL Control
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