I appreciate if there is anyone can help me regarding the accounting treatment and know how to use on Manager Accounting.
Context:
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I am acecombat2 an agent for Estate Planning under business entity named ‘AST’ which involve with product called Will writing.
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The payment structure used by AST is commission based which every Wills I’ve done is 300$ and if I have recruits doing sales under my registered name with AST, I’m also received commission for each sales of will writing services done by my recruits of 50$. In case of recruit members’ commission is 300$ for every sales they have done. The wills service provided by AST is priced 1400$.
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Based on information above, If I doing the sales by myself I received 300$ for 1 sale, the rest 1100$ will be paid for the AST will writing service.
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If My recruits did 1 sale, I received 50$ commission, 300$ are payable to the recruits and the rest 1050$ goes to AST will writing service.
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There are 3 scenario in event of suceeded of 1 sale and the client pay in full. Recruits’ sales.
a. The client pays with cash via the recruits. (Normally I put the balance after commission in liabilities account before expense it off)
b. The client pays via bank facility of cheque/card payments to me acecombat2. (Normally I put the balance after commission in liabilities account before expense it off)
c. The client pays via bank facility of cheque/card payments to AST. (Normally I received Comission a week later)
Based on context above, How do I do the accounting treatment in manager accounting incase recruits does the sales?
Thank you in advance!