44 accounting account is Analytical accounting for account 44

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

44 accounting account is an article designed to summarize information about the costs arising from the sale of goods, services, works. In terms of it, in fact, it is called "Expenses for the sale." Consider further the features of 44 accounting accounts: postings, analytics.

Manufacturing plants

The main costs of industrial, agricultural and other production organizations on the 44th accounting account are spending on:

• Packing and packing products in finished goods warehouses.
• Delivery of goods to the point of departure, loading into wagons, cars, water and other vehicles.
• Payment of commission fees in favor of sales and other intermediary enterprises.
• Maintenance of premises used to store goods in places of their direct sale.
• Sales salary.
• Advertising campaigns.
• Representative and other services.

Trade organizations

For enterprises selling products, 44accounting account is a cost item for:

• Shipping products.
• Paying workers.
• Maintenance, rental of facilities, premises, inventory, buildings used to sell products.
• Storage, refinement, sorting of goods.
• Advertising.
• Representation and other similar services.

Processing and procurement organizations

These, first of all, include enterprises working with agricultural products. Poultry, meat, cotton, vegetables, etc. can be harvested and processed.

On the 44th account, these enterprises reflect the costs:

• General procurement.
• For the maintenance of animals at the bases.
• Operational.
• For the maintenance of receiving and procurement sites and points.

Construction companies

If organizations procure materials and structures, they also use account 44 to reflect the costs associated with the sale of products. They may include, in particular, the costs of:

• Procurement and storage of products.
• Maintenance of the harvesting machine, pantries, material warehouses.
• Protection of materials.
• Product arrival notification.
• Other similar costs.

Sub-accounts

Additional articles to account 44 can be opened at any enterprise. In accounting, these are sub-accounts:

• "Selling costs" – 44.1
• "Expensesappeals" – 44.2.

The first sub-account reflects the costs that are directly related to the packaging of products, the performance of loading and unloading operations, the shipment of products to customers on the basis of contracts. The composition of the costs also includes all costs arising from the sale of goods. Among them are the costs of maintaining premises used to maintain products at points of sale, technical points, laboratory testing of products, advertising costs, etc.

Subaccount 44.2 is usually used by procurement and processing organizations, as well as construction companies that manufacture structures and materials. They reflect in this item the costs of procurement and transportation of products to enterprises before being included in the actual cost of procurement/purchase.

Features of information reflection

Accumulated in the debit of 44 accounts, the amount of expenses is partially or completely written off in the account. 90. In case of partial write-off, should be distributed:

• In enterprises engaged in industrial, agricultural and other production activities - the cost of packaging and transportation. The distribution is carried out between the types of shipped objects every month in accordance with their volume, weight, production cost, and other indicators.
• At enterprises engaged in trading or other intermediary activities - the costs associated with the transportation of products. The distribution is made between implementedproducts and balances of goods at the end of the month.
• In organizations engaged in the procurement and processing of agricultural products - the cost of procurement of raw materials for livestock and poultry. Accounting account 44 corresponds in these cases with the account. 15 or 11 respectively.

All other costs arising from the sale of products, the provision of services or the performance of work are charged monthly to the cost price.

Analytical accounting for account 44 is carried out by items and types of costs.

Closing

At the end of the reporting period 44, the account is closed on the account. 90, sub. 90.7.

In case of incomplete sales of products, the write-off may be partial. In this case, transport costs are distributed in proportion to the volume of products sold. The amount that corresponds to the balance of unsold products is not closed. It is carried over to the next period.

In all other cases, 44 accounts are closed each month.

The company chooses the method of accounting and writing off expenses on its own. The methodology should be fixed in the accounting policy of the organization.

General Accounting Theory in Ukraine

Reflecting the costs of the sale is carried out on the account. 93. In the debit of the article, the amounts of recognized costs for the sale of services, products, works are accumulated. The write-off is carried out on credit 79 of the "Financial results" account.

Selling costs include the costs of:

• Packaging materials.
• Transportation of products based on contracts.
• Advertising and marketing.
• Salaries and commissions for salespeople, sales staff, sales agents.
• Depreciation.
• Maintenance and repair of fixed assets and other non-current material assets intended to ensure sales.

For debit 93, the account corresponds with the articles:

• "Depreciation (wear and tear) of non-current assets".
• "Inventory".
• "Wearing and low value items".
• "Semi-finished products".
• "Production".
• "Agricultural products".
• "Cash".
• "Goods".
• "Bank accounts".
• "Settlements with customers and buyers".

This list is not exhaustive. In the Ukrainian accounting system, there are a lot of accounts that correspond with the account. 93.

In closing

44 account is considered one of the key in the accounting of any enterprise whose activities are related to the sale. It summarizes information that allows you to evaluate the effectiveness of the costs incurred by the enterprise. Based on the results of the analysis, the company's management can identify unprofitable areas of activity and minimize costs.