In what account and how are distribution costs taken into account?

Distribution costs for trading enterprises are those expenses that cannot be avoided when delivering goods to the buyer. This material will help you learn how distribution costs are accounted for and why and how they are calculated.

Accounting for such costs is based on the postulates of PBU 10/99, which contains only general requirements. Trade organizations often have to resolve complex issues arising from industry specifics on their own. These features will be discussed below.

The importance of distribution costs for trade organizations

Correct accounting of IOs is important, since their participation in the formation of financial results is almost decisive:

• ISO is one of the main indicators of the final functioning of the company;
• the amount of costs directly affects the amount of income received by the company from the sale of goods. Therefore, their optimization is a serious factor in increasing profitability and profitability.
• ISO level is the main guideline for determining the trade markup (its minimum value);

The extent to which a company can compete with companies operating in the same field depends on the ISO and its level.

Types of distribution costs in trade

Systematization of art involves organizing them according to common features:

Fundamentals of synthetic accounting of distribution costs

Active account 44 is intended for maintaining synthetic accounting. According to its debit, the accountant collects the amounts of expenses incurred in the course of the main activity, and the credit is calculated to write them off. The debit balance shows which ISOs for goods not yet sold are in stock at the end of the reporting period.

The following entries are made in the accounting of art:

The write-off of expenses is reflected as follows:

Dt 90.2 Kt 44

Important! On loan account 44, costs are written off to determine the final financial result - profit or loss.

Accounting and features of writing off distribution costs.

Commercial activity can be successful only if funds are spent rationally on its implementation. In order to make the right decisions that ensure maximum increase in profits, profitability, and sustainability of an enterprise in the market, complete and reliable information about its expenses is required, reflected in accounting and reporting. Such expenses in the sphere of circulation are costs.

Distribution costs are understood as the costs of material, monetary and labor resources associated with the movement of goods from producer to consumer. These include costs directly related to the process of circulation of goods.

According to clause 1.3 of the Methodological Recommendations for accounting of costs included in distribution and production costs, and financial results at trade and public catering enterprises, approved by Roskomtorg of the Russian Federation and agreed upon by the Ministry of Finance of the Russian Federation on April 20, 1995. No. 1-55-/32-2 (hereinafter referred to as the Methodological Recommendations), distribution and production costs include the costs of trading enterprises arising in the process of moving goods to consumers, as well as costs associated with the production and sale of products of their own production and the sale of purchased goods in catering establishments.

There is a grouping of costs by period that involves dividing costs into expenses of the reporting period and expenses of future periods.

Expenses of the reporting period relate to the current reporting period in which they were incurred.

The items used in accounting are divided into expense groups that differ in relation to turnover (variables, constants). The division of costs into variable and constant is due to the fact that cost items and elements do not depend equally on the volume of trade turnover.

Grouping costs depending on the method of attributing them to costs of individual product groups and structural divisions of organizations is called costing grouping. It distinguishes between direct and indirect costs.

Direct costs are those that can be directly attributed to the distribution costs of specific structural divisions of the organization (stores, warehouses), certain product groups or other objects in relation to which costs are calculated, for example, costs of part-time work, packaging of specific goods, payment costs labor of sellers of specific types of goods, advertising can be assigned to the corresponding product groups without additional calculations.

Indirect - general or additional expenses related to the entire organization, which can be correlated with individual goods or divisions of the organization only through special distribution methods or by calculation (expenses for salaries of management personnel, for storing goods, for fuel, gas, electricity, depreciation and renovation of administrative buildings, etc.)

Grouping in relation to inventory balances divides costs into distribution costs attributable to the balance of goods and costs related to goods sold.

The basis of the grouping in relation to the balances of inventory is In accordance with the accounting principle, costs are divided into overhead and general trade costs.

Overhead costs represent the increase in expenses from the purchase price of goods to their cost. Taking into account the requirements of P; 6 PBU 5/98 these should include expenses associated with the acquisition of goods, with the exception of value added tax and other refundable taxes (except for cases provided for by the legislation of the Russian Federation). These are transportation costs and interest for using a non-monetary (commodity) loan.

General trade costs include all other costs, including the costs of bringing the goods to a state in which they are suitable for use for the intended purposes (storage, sorting, part-time processing, packaging) and costs associated with the sale of the goods. They represent an increase in costs up to the full cost of the goods, compensated by sales prices.

Thus, expenses attributable to the balance of goods consist only of overhead costs, and expenses related to goods sold include both overhead and general trade costs.

Classification of costs according to their impact on taxable profit involves dividing costs into those participating and not participating in the reduction of taxable profit.

Synthetic accounting of distribution costs is carried out on account 44 “Sales expenses” . The debit of the account accumulates the amounts of expenses incurred. These amounts in trade, supply, sales and other intermediary organizations are written off to the debit of account 90 “Sales”, in full except for the amounts to be attributed to the balance of goods. Thus, the balance of account 44 “Sales expenses” shows the amount of distribution costs attributable to the balance of goods at the end of the month. They are calculated based on the average interest taking into account the carryover balance at the beginning of the month. The balance of account 44 “Sales expenses” in total with the balance of account 41 “Goods” is equal to the actual cost of the balance of inventory.

To separate costs according to their impact on taxable profit, two sub-accounts can be opened to account 44 “Sale expenses”: “Expenses involved in reducing taxable profit” and “Expenses not participating in reducing taxable profit”.

Sales of goods.

The sale of goods in wholesale trade is regulated by contracts: purchase and sale, delivery, barter, commissions, transportation, etc.

Under a purchase and sale agreement , one party (seller) undertakes to transfer the property (goods) to the other party (buyer), and the buyer undertakes to accept this product and pay a certain amount of money (price) for it.

Under a supply agreement , the supplier-seller engaged in business activities undertakes to transfer, within a specified period (or periods), the goods produced or purchased by him to the buyer for use in business activities or for other purposes not related to personal, family, home and other similar use (individual Articles of the supply agreement are regulated by the purchase and sale agreement).

Under an exchange agreement, each party undertakes to transfer one product into the ownership of the other party in exchange for another. The rules of purchase and sale apply to the exchange agreement. In this case, each party is recognized as the seller of the goods, which it undertakes to transfer, and the buyer of the goods, which it undertakes to accept in exchange.

Under a commission agreement , one party (the commission agent) undertakes, on behalf of the other party (the principal), for a fee, to carry out one or more transactions on its own behalf, but at the expense of the principal.

Under a contract for the carriage of goods, the carrier undertakes to deliver the cargo entrusted to him by the sender to the destination and hand it over to the person authorized to receive the goods (recipient), and the sender undertakes to pay the established fee for the carriage of goods. Depending on the type of transport, a charter agreement may be concluded.

Payment for goods (works, services) is recognized as the termination of the counter-obligation of their purchaser, with the exception of the termination of the counter-obligation through the issuance by the buyer-drawer of his own bill. In this case, payment for goods will be recognized as the buyer’s repayment of the bill of exchange issued by him or his transfer by endorsement to a third party.

Accounting for the sale of goods is carried out on the matching operational-resulting account 90 “Sales”. It is called so because it compares the amount of credit turnover (the sales value of goods sold, including value added tax) with the amount of debit turnover (the cost of these goods, value added tax, shares and distribution costs related to the goods sold) and the result from the sale of goods (profit or loss) is revealed.

Account 90 “Sales” is intended to summarize information on income and expenses associated with the organization’s normal activities and determine the financial result for them.

Subaccounts can be opened to account 90 “Sales”: 1 “Revenue”, 2 “Cost of Sales”, 3 “Value Added Tax”, 4 “Excise Taxes”, 5 “Export Duties”, 6 “Sales Tax”, 9 “Profit” /loss on sales."

If, when selling from a warehouse, the accounting policy of a wholesale organization provides for the moment of sale of goods upon their shipment and presentation of payment documents to buyers for payment, then the following accounting entries :

goods were shipped to customers at selling price -

Dt sch. 62 “Settlements with buyers and customers”

K-t sch. 90 “Sales”, subaccount 1 “Revenue””;

containers under the goods were shipped

–

Dt sch. 62 “Settlements with buyers and customers”

K-t sch. 41 “Goods”, subaccount 3 “Containers under goods and empty”;

at the same time, sold goods were written off from financially responsible persons at the purchase price (according to the accounting policy using one of the methods: average, FIFO)

–

Dt sch. 90 “Sales”, subaccount 2 “Cost of sales”

K-t sch. 41 “Goods”, subaccount 1 “Goods in warehouses”;

value added tax has been charged on goods sold (highlighted in the sales documents as a separate line) –

Dt sch. 90 “Sales”, subaccount 3 “Value added tax”

K-t sch. 68 “Calculations for taxes and fees”;

carried at the expense of the buyer according to the contract, transport

expenses -

Dt sch. 62 “Settlements with buyers and customers”

K-t sch. 76 “Settlements with various debtors and creditors” (personal account of a transport organization);

transportation costs were paid from the current account

—

Dt sch. 76 “Settlements with various debtors and creditors” (personal account of a transport organization)

K-t sch. 51 “Current accounts”;

expenses related to goods sold are written off

—

Dt sch. 90 “Sales”, subaccount 2 “Cost of sales”

K-t sch. 44 “Sales expenses”.

On account 90 “Sales” at the end of the month (reporting period) the financial result is revealed. Entries in subaccounts 1 “Revenue”, 2 “Cost of sales”, 3 “Value added tax”, 4 “Excise taxes” are made cumulatively during the reporting year. By monthly comparison of the total debit turnover in subaccounts 2 “Cost of sales”, 3 “Value added tax”, 4 “Excise taxes” and credit turnover in subaccount 1 “Revenue”, the financial result (profit or loss) from sales for the reporting month is determined. This financial result is written off monthly (with final turnover) from subaccount 9 “Profit/loss from sales” to account 99 “Profits and losses” using accounting entries:

at a profit -

Dt sch. 90 “Sales”, subaccount 9 “Profit/loss from sales”

K-t sch. 99 “Profits and losses”;

at a loss

—

Dt sch. 99 "Profits and losses"

K-t sch. 90 “Sales”, subaccount 9 “Profit/loss from sales”.

Thus, the synthetic “Sales” account does not have a balance at the reporting date. At the end of the reporting year, all subaccounts opened to the “Sales” account (except for subaccount 9 “Profit/loss from sales”) are closed.

Analytical accounting for the “Sales” account is maintained for each type of goods sold, products, work performed, services provided, etc. In addition, analytical accounting for this account can be maintained for sales regions and other areas necessary for managing the organization.

Maintaining analytical accounting of distribution costs

Analytical accounting of art products in trading companies is carried out for each of their types and for individual articles. The list is unified and includes all possible areas of art: from delivery costs to other costs.

Trading companies can supplement and change this list. But it is important to take into account the provisions of regulatory documents. Analytical accounting covers types of costs. For example, on the debit of the account. 94 collects information about the accounting value of goods that are missing. The amount is contained in account loans. 41 and 60.

Shortages arising during the sale of goods are indicated as follows:

Dt sch. 94 Kt. 44

Loss of goods due to emergencies, natural disasters, is written off from credit account 44 to Dt account. 99.

On which balance sheet item should distribution costs for the balance of goods be reflected?

According to clause 27 of the Methodological Recommendations on the procedure for forming indicators of the financial statements of an organization, approved by Order of the Ministry of Finance of Russia dated June 28, 2000 No. 60n, organizations engaged in trading activities and providing public catering services reflect distribution costs for the balance of goods in the balance sheet under the item “Costs in work in progress (distribution costs),” which raises puzzling questions. Firstly, what kind of “work in progress” can there be in trade? Secondly, if an organization is engaged in several types of activities (including production and trade), then under the above article it will reflect in total two completely different indicators: the balance of work in progress (for production activities) and distribution costs for the balance of goods (for trading activities). The analysis of this article will therefore be highly questionable. In addition, in this case, it will be difficult to calculate the cost balance of the balance of goods due to the absence of an explicit amount of distribution costs for the balance of goods. In our opinion, the latter indicator should be reflected under the item “Finished goods and goods for resale” together with the cost of remaining goods.

Accounting for distribution costs: features of accounting for transportation costs

Costs arising during the delivery of goods to the company's warehouses are included in the IO.

You can display them like this:

1. Include in the actual s/s of the product.
2. Take it into account 44 under the title “Sales expenses”.

Where to stop is determined by the trading company. But the choice must be indicated in the accounting policy. When the second method is chosen, the volume of transport costs is subject to distribution between the goods sold, and not yet. Costs incurred during the delivery of already sold units are written off to the account. 90.2.

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III.2.2. Features of writing off distribution costs.

To summarize information about expenses associated with the sale of goods, account 44 is used, the debit of which accumulates the amounts of expenses incurred by a trading organization associated with the sale of goods (except for those that are included in the actual cost of goods).
At the end of the month, these amounts are completely written off to the debit of account 90 “Sales”, subaccount 90-2 “Cost of sales” or a separate subaccount “Distribution costs” (except for transport costs for delivery of goods from the supplier). As already noted, one of the features of accounting for organizations engaged in trading activities is the possibility of reflecting transportation costs associated with the purchase of goods, both as part of distribution costs and as part of the actual cost of goods. In this case, the organization itself makes the decision to choose one or another method of reflecting such costs in accounting. Moreover, the chosen option must be recorded in the organization’s accounting policies for accounting purposes.

Let us consider, using an example, the calculation of the average percentage of distribution costs and the procedure for reflecting such transactions in accounting.

Example.

The accounting policy for accounting purposes of Alternativa LLC, which carries out wholesale trade in industrial goods, provides for the attribution of transportation costs to distribution costs. Goods are accounted for at purchase prices.

At the beginning of the reporting period (month), account 44 had a carryover balance of transportation expenses in the amount of 20,000 rubles.

During the reporting period (month), the organization incurred expenses for transport services in the amount of 55,000 rubles. At the same time, goods worth 300,000 rubles were sold during the month. The balance of goods in the warehouse at the end of the month amounted to 270,000 rubles.

In addition to the costs of delivering goods from the supplier to the warehouse, Alternativa LLC in the reporting period incurred other costs associated with the sale of goods in the amount of 40,000 rubles.

All amounts above do not include VAT.

Thus, the average percentage of distribution costs should have been calculated as follows (we apply the formula given in the section on the taxation of trading operations with income tax).

In this case, the calculations can be divided into two stages.

At the first stage, we determine the ratio of distribution costs (transportation costs) to the cost of goods:

(RUB 20,000 + RUB 55,000): (RUB 300,000 + RUB 270,000) x x 100% = 13.16%.

Then (in the second stage) we find the amount of transport costs attributable to the balance of goods in the warehouse at the end of the month, which is equal to 35,532 rubles. (RUB 270,000 x 13.16%). Consequently, for the reporting period (month), transportation costs in the amount of 39,468 rubles were subject to debit to account 90. [27].

The write-off of distribution costs at the end of the month should be recorded in accounting using the following entries:

D-t 90 , sub-account 90-2 “Cost of sales” or sub-account “Distribution costs”, K-t 44 - 39,468 rubles. – distribution costs in terms of transportation costs incurred by the organization for the reporting period (month) are written off;

D-t 90 , sub-account 90-2 “Cost of sales” or sub-account “Distribution costs”, K-t 44 - 40,000 rubles. – other distribution costs (in addition to transportation costs) incurred by the organization during the reporting period (month) are written off.

The balance of distribution costs (transportation costs) on account 44 in the financial statements of Alternative LLC should have been reflected as costs in work in progress (distribution costs).

Content

Features of accounting for distribution costs in pharmacies

IO in pharmacies is their volume in monetary terms necessary for the delivery of medications to consumers, who are the population of the country and various types of medical institutions.

IO includes costs for:

• delivery of medicines and their safety;
• sale of medicines;
• employee salaries;
• others.

The total amount of pharmacy expenses exceeds the ISO. The latter, for example, do not include:

• entertainment and travel expenses, the amount of which exceeds the norm;
• amounts of financial assistance;
• bonuses from special funds;
• loan fees;
• fines and penalties due to inaccurate payment of taxes;
• additional vacation pay.

To reduce costs, you need to:

1. To improve the organizational forms of providing the population with medicines, namely, to sell mainly ready-made medications and not spend money on their production.
2. Use modern technologies that increase the productivity of pharmacists.
3. Reduce delivery costs and the cost of medicines.
4. Rationalize commodity distribution systems, eliminate duplicate links in the delivery of medications.

Pharmacies have a high level of ISO (20-25%) compared to other trading companies (6-9%). There is an explanation for this:

• significant amount of work;
• maintaining a staff of more highly qualified employees compared to a regular store;
• The sale of goods is carried out not in large quantities, but in fractional quantities.

All costs incurred by the pharmacy are reflected in accounting and reporting documents in the period in which they were actually incurred.

In operational accounting (analytical and synthetic accounting accounts), in the accumulative and turnover statements, IO should be recorded only in absolute amounts - in RUB.

The main reporting document for art is the report for the corresponding quarter. It reflects costs both in absolute terms and as a percentage of turnover.

Distribution costs: level calculation formula

IO is planned, taken into account and shown in accounting in absolute amounts (rubles), in analytical calculations - in relative amounts, i.e. as a percentage of the turnover of goods. It is the relative values ​​of the IO value that are important when analyzing the quality of a company’s work: the lower their level in the total volume of trade turnover, the more stable the organization and the more profit it brings.

The level of IO is the ratio of the absolute amount of costs to the amount of turnover. The calculation formula is:

• Uio = ∑io / T, where ∑io is the amount of IO in rubles, T is the turnover for the reporting period.

They focus on the level of AI when determining the size of the trade markup and plan how competitive the company is.

Basics of cost analysis in pharmacies

For qualitative analysis, it is necessary to use the following initial data:

• planned calculations of turnover and inventories of current assets;
• amounts intended for payment of labor;
• wishes of management regarding minimizing the level of ISO based on the experience of more profitable pharmacies;
• results of analytical work on the study of art for the previous time period.

It is necessary to highlight factors that depend on the work of pharmacy organizations and those that cannot be influenced. The main factor that cannot be influenced is prices. Their dynamics affect the amount of trade turnover and the relative level of ISO. Initially, this concerns retail prices for medications.