inventory received not billed
My scenario has two parts.
1 – Someone approached me with a vehicle trade-in accounting question. Client will be taking in a trade-in from their customer for a new vehicle sale. New one is $15k and giving him $2k for trade.
The system is set up it to generate a PO for the trade and receive it into inventory.
Accrued Purch $2000
Normally the Vendor Bill would clear the Acc Purch account. In this scenario there will not be a bill. So how can I close or clear the Accrued Purchase account. What would be the JE (or steps)?
2 – Once this unit is received into inventory at $2k the client wants to revaluate the unit at $2500 and sell at $2500. Can they do a JE to revalue to $2500? Or do they leave on the books at $2000?