Receive Monthly Statements
BizXchange acts as a third-party record keeper, just like a bank. Each month members receive a statement detailing recent transactions, current trade balance and any fees due. All transactions are recorded pursuant to trading procedures, policies, rules and regulations of BizXchange and the IRS.
Account for Trade Transactions
In accordance with General Accepted Accounting Principles, members must record all transactions at fair market value. The member creates an additional bank account in their General Ledger to record all trade dollar transactions. Similar to a cash sale, when a sale occurs, the revenue account is credited and the trade bank account is debited. When purchases occur, the asset, or expense, account is debited and the trade bank account is credited. The trade bank account will equal the balance of your BizX statement at the end of the month.
| |
Expenses |
Revenue |
Bank-BizX Trade |
| |
Debit |
Credit |
Debit |
Credit |
Debit |
Credit |
| SALE |
|
|
|
1,000.00 |
1,000.00 |
|
| PURCHASE |
500.00 |
|
|
|
|
500.00 |
NEXT: Taxes |
