Accounting For Consignment / Consignment Accounts Rules Learning Objectives: Define and explain the terms consignment, consignor and consignee. What is the difference between consignment and sale? Make journal entries in the books of consignor and that of consignee. Prepare consignment account and consignee’s account
Accounting For Consignment
Accounting consignment occurs when the consignor sends goods to the consignee. It is usually enough to record the change in location within the stock record keeping system of the consignor that process is called accounting consignment.