Simple basic question. Surprisingly hard for me to find an answer on the web though.
A straight forward cash sale. For an item. sold at a profit.
Dumb beginner though I am I can see that Cash must be debited with the cash. I can see that stock on hand or inventory must be credited with the item now gone.
But where do I put the 'extra' money? The profit? Say it cost me 1000 and I sold it for 1500 where do I put the 500 so's my entries balance? I can't credit inventory with 1500 can I?
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