Page 110 - DMGT104_FINANCIAL_ACCOUNTING
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Financial Accounting
Notes accounts is also 7,000. Thus, the total amount of debit (purchases) equals the total amount of
credit (creditors) satisfying the very principle of double entry system of book-keeping
(accounting).
Task Enter the following transactions in the Purchases Book and post the same in the
relevant ledger accounts.
2001 ( )
Aug. 1 Bought goods from S 1,500
Aug. 4 Bought goods from N 1,000
Aug. 8 Bought goods from A 500
6.3.2 Sales Day Book
The goods which are sold on credit are recorded in this book but if sales are made for cash or
assets are sold either for cash or on credit, they are not at all recorded in this book, but are
recorded either in the cash book or in the journal. The form of this book is similar to that of
purchases book. Following is the form of Sales Day Book.
Date Particulars Invoice No. L.F. Details ( ) Amount ( )
I II III IV V VI
Details of goods-sold-trade discount if any total
Thus, all the credit sales are totalled which give us the amount of total credit sales made during
the period.
Invoice: An Invoice is given to the buyer when sales are made on credit.
Example: Following are the transactions of a publishing house, Delhi. Enter the following
in the sales book.
2011
July 1 Sold to Manoj Book Depot, Delhi on credit.
10 copies of introduction to Accounting Part I for XII Class @ 55 each.
5 copies of Mathematics Part II for XII Class @ 90 each.
Trade Discount allowed 20%.
July 10 Sold to M/s Agarwal Book Depot, Meerut on credit.
10 copies of Introduction to Accounting Part I for XII Class @ 55 each.
5 copies of physics for XII class @ 120 each.
Trade discount 10%.
July 15 Sold to M/s Gupta & Sons 1 typewriter for 500
July 18 Sold to M/s Kishan Lal & Co. for cash.
5 copies of Physics for XII Class @ 120 each.
Trade Discount 20%.
July 25 Sold to M/s Mittal Bros. Kanpur on credit
5 copies of Chemistry for XII Class @ 100 each.
5 copies Mathematics for XII Class @ 90 each.
Trade discount 15%
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