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Goods purchased on cash are recorded in ...

Goods purchased on cash are recorded in the :

A

Purchases (journal) book

B

Sales (journal) book

C

Cash book

D

Purchases return (journal) book

Text Solution

Verified by Experts

Correct option is C)
Cash Book records all receipts of and payments in cash.
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Enter the following Transactions in the Journal of Mudit : 2017 Jan.01 Commenced business with cash 1,75,000 Jan.01 Building 1,00,000 Jan.02 Goods purchased for cash 75,000 Jan.03 Sold goods to Ramesh 30,000 Jan.04 Paid wages 500 Jan.06 Sold goods for cash 10,000 Jan.10 Paid for trade expenses 700 Jan.12 Cash received from Ramesh 29,500 Discount allowed 500 Jan.14 Goods purchased for Sudhir 27,000 Jan.18 Cartage paid 1,000 Jan.20 Drew cash for personal use 5,000 Jan.22 Goods use for house hold 2,000 Jan.25 Cash paid to Sudhir 26,700 Discount allowed 300