Name the books of original entry where the following transactions will be recorded with reasons thereof:
Name the books of original entry where the following transactions will be recorded with reasons thereof:
[Ans. (a) Purchase Book; (b) Journal Proper; (c) Sales Return Book; (d) Journal Proper]
| (a) | Goods Purchased from Ram Lal ₹ 5,000 on credit. |
| (b) | Provision for doubtful debts created @ 5% on debtors with book value of ₹ 10,000 |
| (c) | Defective goods sold to Babita on credit worth ₹ 4,000 were returned by her. |
| (d) | Purchased furniture on credit from Mr. Ratan Singh for ₹ 15,000 for use in the business. |
Anurag Pathak Answered question
Solution:-
(a) Purchase Book because it is a credit purchase of goods.
(b) Journal Proper because it can not be recorded in any of other subsidiary books.
(c) Sales Returns Book because customer has returned the goods.
(d) Journal Proper because furniture is an asset and not the goods.
Anurag Pathak Answered question
