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How to enter new vehicle purchase, down payment(s), and financing?
Just received a brand new company truck factory ordered from Ford and have a few questions:
I made a $1,000 down payment in August 2015. Ford didn't have my truck in stock and would build a brand new truck for me in the winter of 2015 (for a new 2016 truck). My corporation's year end is December 31st. I did not receive the truck until January 16, 2016. When I picked up the truck that day, I (the company) paid an additional $5,000 down payment, and Ford also gave me another $1,000 manufacturer rebate. That works out to a $7,000 down payment ($1,000 from August 2015 and $5,000 + $1,000 rebate in January 2016).
The total cost of the truck was $58,006.16 (which includes $2,587.44 in GST and $3,622.42 in PST). Minus the $7,000 down payment, leaves a total amount financed of $51,006.16; payments are $457.20 paid biweekly for 60 months (130 payments).
So, how do I input and/or account for that initial $1,000 down payment I made in August 2015 (last year's tax year)? I did not pickup the truck until January 2016 (this tax year) at which time I made the additional down payment? Do I include any of the GST on that initial $1,000 down payment made in 2015 tax year?
Also, I have no clue how to input the actual purchase of the truck and financing into quickbooks either.
Any advice would be greatly appreciated! Thank you
How would the recording of this transaction differ if I am a used car dealer, and I bought a car for sellable inventory?
post the cost of the car you buy to a dummy bank account called WIP, as you get it ready for sale post all costs to that account too, then create the inventory item for the used car and "buy" it using the dummy bank WIP