GROSS RECORDING METHOD

Accounting procedure. Posting cash discounts on purchases against a journal entry’s full invoice amount. Recording the discount can treat it as non-revenue if deducted from the original debited amount or as revenue under ‘other income’. The recording occurs upon obtaining the discount.

More On This Topic



Link to This Definition
Did you find this definition of GROSS RECORDING METHOD helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary