Retail
Drop-Shipment — Supplier Ships Directly to Customer
Recording a sale where the supplier ships directly and the store never holds the goods.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Cash / Accounts Receivable | Asset (+) | 232.00 | - |
| Sales Revenue | Revenue (+) | - | 200.00 |
| VAT Output Tax Payable (16%) | Liability (+) | - | 32.00 |
| Cost of Goods Sold (Drop-Ship) | Expense (+) | 120.00 | - |
| Accounts Payable (Supplier) | Liability (+) | - | 120.00 |
💡 Accountant's Note
In dropshipping, no inventory asset is ever created. Revenue and COGS are recognized simultaneously at the time of the customer order.
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