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Question

Credit sales are recorded in a ____________.

A
Sales Book
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B
Cash Book
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C
Journal Book
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D
Purchases Book
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Solution

The correct option is A Sales Book
A Sales book is a record of all credit sales made by a business. It is one of the secondary book of accounts and unlike cash sales which are recorded in cash book, sales book is only to record credit sales. The amount entered in the sales book is on behalf of invoices supplied to purchasers.

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Q.

Rectify the following errors:

(a)

Credit Sales to Mohan Rs 7,000 were recorded in purchases book.

(b)

Credit Purchases from Rohan Rs 900 were recorded in sales book.

(c)

Goods returned to Rakesh Rs 4,000 were recorded in the sales return book.

(d)

Goods returned from Mahesh Rs 1,000 were recorded in purchases return book.

(e)

Goods returned from Nahesh Rs 2,000 were recorded in purchases book.

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