Sale of merchandise Retail Double entry bookkeeping with variable chart of accounts

Page: https://excel.hpage.com/bookkeeping.html Playlist: https://www.youtube.com/watch?v=JeP58mdijnU&list=PLKnGGx0Hz5xI The retailer sells merchandise worth 200,000 euros plus 38,000 euros in Value Added Tax. Three accounts are affected: Bank, Output Tax, and income account Merchandise. In this program, only two accounts are used per journal entry; therefore, the receipt of payment for merchandise is recorded in two journal entries. Bank and Output Tax. This entry represents an increase in assets. The balance of the Bank account increases and the balance of the Output Tax account increases. The total amount in the final balance sheet also rises. Bank and revenue account Merchandise. This entry represents an increase in inventory. The balance of the Bank account increases and the balance of the income account Merchandise. The total amount in the final balance sheet also rises. The amount specified in the journal entry is allocated to the P&L (profit and loss) account.