Explain briefly the purpose and advantages of maintaining of a Bills Receivable Book.

Explanation

A Bills due Book is meant as a outline of data concerning a punctually accepted bill received by a drawer. It contains most the small print of the bill like bill date, acceptor's name, amount, term place of payment etc for future reference.

The advantage of getting ready the Bills owed Book is that we tend to get all the data at a look. furthermore we will get AN overall plan regarding our Debtors and keep our assortment system sleek and up so far. A Bill owed Book contains variety of group action associated with the bills, e.g., associated with bills discounted, endorsement, retirement, renewal etc.

The bills due book, like several alternative subsidiary book, is totalled sporadically. This total is debited to the 'Bills due Account' whereas the account of each individual someone whom the bills received is attributable within the ledger. The Bills due Account is that the account of associate degree plus and would forever have a debt balance.