Retail
Sale of Customer Gift Cards
Recording the cash received from selling a gift card before it is used for a purchase.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Cash | Asset (+) | 50.00 | - |
| Gift Card Liability | Liability (+) | - | 50.00 |
💡 Accountant's Note
A gift card is not a sale yet. It is a liability because you 'owe' the customer products or services in the future. It only becomes revenue when they spend it.
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