Commerce Exam > Commerce Questions > Credit sale can be obtained by preparinga)Cas...
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Credit sale can be obtained by preparing
- a)Cash book
- b)Creditors
- c)Statement of affairs
- d)Debtors
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statem...
Explanation:
Credit sale refers to a transaction in which goods or services are sold on credit to the customer, meaning that the payment for the sale is deferred to a later date. In order to obtain credit sale, the company needs to prepare a Debtors statement.
Debtors Statement:
A debtors statement is a record of all the customers who owe money to the company for goods or services purchased on credit. It includes the name of the customer, the amount owed, and the due date of payment. By preparing a debtors statement, the company can keep track of all outstanding payments and follow up with customers who have not paid their bills.
Importance of Debtors Statement:
A debtors statement is an important tool for managing cash flow and ensuring that the company has enough funds to meet its financial obligations. It also helps the company to identify customers who are at risk of defaulting on their payments, allowing them to take proactive measures to recover the debt.
Conclusion:
Therefore, it can be concluded that preparing a debtors statement is essential for obtaining credit sales as it helps the company to keep track of all outstanding payments and ensure that they receive payment for goods or services sold on credit.
Credit sale refers to a transaction in which goods or services are sold on credit to the customer, meaning that the payment for the sale is deferred to a later date. In order to obtain credit sale, the company needs to prepare a Debtors statement.
Debtors Statement:
A debtors statement is a record of all the customers who owe money to the company for goods or services purchased on credit. It includes the name of the customer, the amount owed, and the due date of payment. By preparing a debtors statement, the company can keep track of all outstanding payments and follow up with customers who have not paid their bills.
Importance of Debtors Statement:
A debtors statement is an important tool for managing cash flow and ensuring that the company has enough funds to meet its financial obligations. It also helps the company to identify customers who are at risk of defaulting on their payments, allowing them to take proactive measures to recover the debt.
Conclusion:
Therefore, it can be concluded that preparing a debtors statement is essential for obtaining credit sales as it helps the company to keep track of all outstanding payments and ensure that they receive payment for goods or services sold on credit.
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Community Answer
Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statem...
Credit sale means the goods are sold on credit basis.This will lead to the creation of debtors. So,by preparing debtor account we can easily find the amount for credit sale.
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Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer?
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Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer?.
Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Credit sale can be obtained by preparinga)Cash bookb)Creditorsc)Statement of affairsd)DebtorsCorrect answer is option 'D'. Can you explain this answer?.
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