Total of the sales book for March indicates:a)Total sales for the monthb)Total credit sales for the monthc)Total cash sales for the monthd)Total sales less sales returnCorrect answer is option 'B'. Can you explain this answer?

Question

Answer

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 prepared to record credit sales.
The amount entered in the sales book is on behalf of invoices supplied to purchasers.
A Sales book is also called Sales Journal or Sales Day Book.

Answer

Sales book of March indicates total credit sales for the month. Because in the sales book only, such transactions are recorded which are refit based. Cash transactions are excluded

Answer

Option B is correct because sales books records only credit sales for the month

Answer

Total Sales Book for March

The sales book is a record of all sales made by a business during a specific period of time. In this case, we are looking at the sales book for the month of March. The sales book typically includes information such as the date of the sale, the customer's name, the items sold, the quantity sold, and the amount of the sale.

a) Total Sales for the Month

The total sales for the month can be calculated by adding up the amounts of all the sales recorded in the sales book. This would include both cash sales and credit sales. However, this option is not the correct answer in this case.

b) Total Credit Sales for the Month

Credit sales are sales where the customer does not make an immediate payment, but instead agrees to pay at a later date. These sales are typically recorded in the sales book with the customer's name and the amount of the sale. The total credit sales for the month can be calculated by adding up the amounts of all the credit sales recorded in the sales book.

In this case, the correct answer is option 'B' because the total of the sales book for March indicates the total credit sales for the month. This means that the amount recorded in the sales book represents the sales made on credit, where the customers have not made immediate payments.

c) Total Cash Sales for the Month

Cash sales are sales where the customer makes an immediate payment at the time of the sale. These sales are typically recorded in the sales book with the customer's name and the amount of the sale. The total cash sales for the month can be calculated by adding up the amounts of all the cash sales recorded in the sales book. However, this option is not the correct answer in this case.

d) Total Sales Less Sales Return

Sales return refers to the goods that are returned by the customers for various reasons, such as damaged goods, wrong delivery, or dissatisfaction with the product. Sales return is deducted from the total sales to arrive at the net sales figure. This option is not the correct answer in this case as it refers to the total sales after deducting the sales return, which is not indicated by the total of the sales book for March.

In conclusion, the correct answer is option 'B' because the total of the sales book for March indicates the total credit sales for the month.

Answer

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 prepared to record credit sales.
The amount entered in the sales book is on behalf of invoices supplied to purchasers.
A Sales book is also called Sales Journal or Sales Day Book.

Answer

Because sale book is prepared for credit sale only.

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