Restaurants and Gas Stations
I recently took over the books for a small business client and the previous Bookkeeper listed every gas station and restaurant as its own Vendor. The Owner of the business has a company vehicle and dines out a lot (with and without clients and there was no chart of accounts breaking up the meals but that is another matter).
I was taught to break up meals by tax deduction in the Chart of Accounts and gas as a Vehicle Sub Account. When recording transactions I place the name of the restaurant or gas station on the Memo line. Any reason not to do it that way?
I asked the Owner if there was any reason they needed all the restaurants to be their own Vendor and he said that was just the way the previous bookkeeper did it. One of those times where what was done seems so atypical that you question yourself!