Margaret CPA in OH Posted September 10, 2008 Report Share Posted September 10, 2008 I have a new client that has produced a cd of accompaniments for use in small churches, funeral homes, etc. There were several expenses related to the production of the master including the photos and design for insert, copyrights for use of hymns, and the master cd itself. They then ordered 1000 cds for sale. My only other client with inventory bought at wholesale and sold at retail so I am uncertain how to book the costs outside of the 1000 cds. They were one time costs and more cds can be ordered for only the production costs. In QB, how would these up front expenses be handled? I think that inventory would only be the 1000 cds. Would these other costs be capitalized as Class 57, Distributive trades and services? Amortized as Start up Costs (but they would all be incurred again should another cd be produced)? Nearly all of my clients are in services so my inventory knowledge is being stretched here. Any help would be greatly appreciated! Quote Link to comment Share on other sites More sharing options...
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