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Unsellable items

CVT
2023-12-11

Question

What do I do with finished products that have been damaged, e.g. by sunlight? How do I record this in my accounts?

Chris

You don't need to do anything special. They are included in your accounts as a cost, so that's fine.

They are no longer included in your accounts as turnover, but you will not be issuing a sales invoice for them either, so that is also fine.

It is simply a smaller margin between your purchases of trade goods and your sales of products. But that is fine, part of that margin is simply that things break from time to time.

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You really should try it out for yourself. Even if you don’t have a company number yet, you can already go ahead.

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