Goods sold on credit are recorded in which subsidiary book and why?

Asked by Topperlearning User | 11th Jul, 2016, 04:49: PM

Expert Answer:

Sales book is a subsidiary book which records credit sales of goods i.e. goods which the firm trade in. Cash sales of goods and sale of any assets are not recorded in sales book. Sales book is also known as day book. Sales invoices or bills issued to customers are the source documents for recording entries in the book. Therefore, goods sold on credit are recorded in sales book.

Answered by  | 11th Jul, 2016, 06:49: PM