Business Accounting Question

[Eric Morey]

On Fri, 2011-03-11 at 12:06 -0700, Mark Phillips wrote:
> when I sell a sweatshirt
> with our club logo on it to a parent for $25, and the cost is $15, 

Are you selling the sweatshirt for $25 or $15? Is the parent required to
pay the additional $10 above the wholesale cost?

If the answers are $25 and yes. Then you have no donation to keep track
of. You have a sale with a $15 Cost of Goods Sold. 

Assuming no receivables or payables:

Debit Merchandise Assets (Inventory) $15
Credit Cash $15

Debit Cash $25
Credit Merchandise Sales $25

Debit Cost of Merchandise Sold $15
Credit Merchandise Assets (Inventory) $15