Why not record in purchase book in entry Jan 8 and Jan.20
Dear student
In the purchase book credit entries of the goods purchased for the trading purpose are to be recorded.
Entry for January 8 is not recorded because the transaction is in cash.
As we discussed purchase book records only credit transactions.
In the transaction of Jan 20 Verma Bros. purchased typewriters. Purchase of typewriters is not to be accounted as good for them because their trade is of clothing. Therefore typewriters are to be considered as an asset and the entry will be recorded in the journal.
Regards
In the purchase book credit entries of the goods purchased for the trading purpose are to be recorded.
Entry for January 8 is not recorded because the transaction is in cash.
As we discussed purchase book records only credit transactions.
In the transaction of Jan 20 Verma Bros. purchased typewriters. Purchase of typewriters is not to be accounted as good for them because their trade is of clothing. Therefore typewriters are to be considered as an asset and the entry will be recorded in the journal.
Regards