455EV – Subaru – Internal Labor - EV

Service Department

Sales Synopsis

Account 455EV

Debits

Credits

 

  1. The internal selling price of EV mechanical labor recorded in the Sales Account.

655EV – Subaru – Internal Labor - EV

Service Department

Cost of Sales Synopsis

Account 655EV

Debits

Credits

  1. The cost of EV labor performed on vehicles worked on in the Subaru Service department.  This means all makes, IF the Subaru retailer reports exclusively on their Financial Statement for the Subaru brand only.  For Retailers who report Other Brands on their Subaru Financial Statement, please use Account 455B for New Other Makes Internal labor and any labor performed in the non-Subaru service area.

 

 

Remarks:

The balances in these accounts represent internal mechanical labor on all completed repair orders involving electric vehicles.  

 

Express internal labor should be booked in Accounts 472/672.

 

Costing procedures should be reviewed periodically to determine that costs are accurate and match payroll records or there will be an unreconciled balance in work in process.

 

When technicians are employed on a salary, hourly, or guaranteed basis, the amount paid in excess of their actual productive earnings should be charged to Adjustment Cost of Labor Sales (Account 657A).

 

When an employee's time is divided, (such as a working shop foreman who spends part of his time in a supervisory capacity and the remainder in performing productive labor; or a porter who spends part of his time in a productive capacity such as washing cars or new car clean-up, and the remainder performing utility jobs) the salaries and/ or wages paid should be appropriately divided between the cost of sales account and the applicable expense account.

 

Internal repair orders should be authorized by the department manager requesting the work to be performed, indicating the authorized amount to be charged.