Special Tips for Retailers

Are you a retailer? If so, you’re probably saying, “Hey guys, what you just described is way too much work to do every time someone walks into the store and buys some £3 item.”

You know what? You’re right. So here’s what retailers do to record their sales. Retailers record the day’s sales by using one, two, or three sales receipt transactions. Retailers don’t record each individual sales receipt transaction.

Say that some coffee mug retailer sold 2500 red coffee mugs in a day for £3.50 (net) each. In that case, at the end of the day, the retailer needs to record total sales of £8750 plus £1750 in VAT (at 20%). The daily sales (£10,500) would be recorded using a sales receipt transaction like the one shown earlier in Figure 5-2.