Manufacturing
Environmental Penalty (Non-Deductible)
Recording a government fine for a factory emission violation.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Environmental Fines & Penalties | Expense (+) | 5,000.00 | - |
| Cash / Accounts Payable | Asset/Liability (-) | - | 5,000.00 |
💡 Accountant's Note
While this is a factory expense, it is usually disallowed for tax purposes. It is a 'Period Cost' and never part of the product cost.
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