6011 – New Subaru Incentives (ICE Vehicles)

New Vehicle Department

Cost of Sales Synopsis

Account 6011

Debits

Credits

 

  1. Promotional allowances earned from Subaru on the sale or purchase of new Subaru ICE vehicles, e.g., Dealer Cash, “Stair Step” Bonuses, Retailer Monthly Bonus, etc. if desired by the Retailer's management structure.  It is preferred that all Subaru incentives are directly credited to the carline cost of sales, instead of using this account.

 

 

Remarks:

Incentives should be recorded when earned and not when payment is received from Subaru of America.

 

The receivable for Incentives earned should be recorded in Account 227 – Factory Receivables – Subaru.  A schedule should be created and maintained until all claims are paid with identifying VIN, stock number, customer name, date of sale, etc.

 

Schedule should be reviewed monthly and all unpaid incentive claims followed up on a timely basis.

Note: