Books of original entry are used for ____
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Correct Answer: Option A
Explanation:
Books of original entry (also called journals) are used to record all the initial transactions that occur in a business. These transactions are entered in these books before they are posted to the general ledger.
Examples of books of original entry include:
Sales Day Book: For recording credit sales.
Purchase Day Book: For recording credit purchases.
Cash Book: For recording cash transactions.
Sales Returns Day Book (Sales Returns Journal): Used to record goods returned by customers. It tracks returns of goods previously sold on credit.
Purchase Returns Day Book (Purchase Returns Journal): Used to record goods returned to suppliers, i.e., purchases that have been returned on credit.
General Journal: For recording transactions that don’t fit into the other specific journals.
Books of original entry (also called journals) are used to record all the initial transactions that occur in a business. These transactions are entered in these books before they are posted to the general ledger.
Examples of books of original entry include:
Sales Day Book: For recording credit sales.
Purchase Day Book: For recording credit purchases.
Cash Book: For recording cash transactions.
Sales Returns Day Book (Sales Returns Journal): Used to record goods returned by customers. It tracks returns of goods previously sold on credit.
Purchase Returns Day Book (Purchase Returns Journal): Used to record goods returned to suppliers, i.e., purchases that have been returned on credit.
General Journal: For recording transactions that don’t fit into the other specific journals.