sales asset or liability

The buyer can also dictate which assets it is not going to purchase. If, for example, the buyer determines that the seller has a lot of accounts receivable that are probably uncollectable, then they can simply elect not to purchase the Target’s AR . Inventory devaluation reduces the Inventory object code for the devaluation of goods not sold over time and increases the Cost of Goods Sold object code in the sales operating account. The Inventory object code is used to record inventory value, reconcile inventory value after a physical inventory is performed, and transfer cost of … Read the rest