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In which book of original entry, will you record the following transactions?
Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.
- a)Journal Proper (General Journal)
- b)Sales Book
- c)Cash Book
- d)Purchase Book
Correct answer is option 'A'. Can you explain this answer?
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Most Upvoted Answer
In which book of original entry, will you record the following transac...
Answer:
Recording Purchase of Second Hand Motor Car on Credit in Journal Proper
Journal Proper is a book of original entry used to record all transactions that do not have a specific book for recording. The purchase of a second-hand motor car on credit from B Brothers will be recorded in Journal Proper as follows:
Date | Particulars | L.F. | Debit Amount | Credit Amount
---- | ---------- | --- | ------------ | -------------
[Date of transaction] | B Brothers A/C | | 10,000 |
| Purchases A/C | | | 10,000
Explanation:
The entry is recorded in Journal Proper because there is no specific book for recording the purchase of second-hand motor cars on credit. The entry is recorded in the following manner:
- Date: The date on which the transaction took place is recorded in the first column.
- Particulars: The name of the account to be debited and credited is written in the second column. In this case, B Brothers A/C is debited, and Purchases A/C is credited.
- L.F.: L.F. stands for Ledger Folio, which is the page number of the ledger where the account is maintained. The L.F. column is left blank in Journal Proper.
- Debit Amount: The amount debited to B Brothers A/C is recorded in the Debit Amount column.
- Credit Amount: The amount credited to Purchases A/C is recorded in the Credit Amount column.
Therefore, the purchase of a second-hand motor car on credit from B Brothers will be recorded in Journal Proper.
Recording Purchase of Second Hand Motor Car on Credit in Journal Proper
Journal Proper is a book of original entry used to record all transactions that do not have a specific book for recording. The purchase of a second-hand motor car on credit from B Brothers will be recorded in Journal Proper as follows:
Date | Particulars | L.F. | Debit Amount | Credit Amount
---- | ---------- | --- | ------------ | -------------
[Date of transaction] | B Brothers A/C | | 10,000 |
| Purchases A/C | | | 10,000
Explanation:
The entry is recorded in Journal Proper because there is no specific book for recording the purchase of second-hand motor cars on credit. The entry is recorded in the following manner:
- Date: The date on which the transaction took place is recorded in the first column.
- Particulars: The name of the account to be debited and credited is written in the second column. In this case, B Brothers A/C is debited, and Purchases A/C is credited.
- L.F.: L.F. stands for Ledger Folio, which is the page number of the ledger where the account is maintained. The L.F. column is left blank in Journal Proper.
- Debit Amount: The amount debited to B Brothers A/C is recorded in the Debit Amount column.
- Credit Amount: The amount credited to Purchases A/C is recorded in the Credit Amount column.
Therefore, the purchase of a second-hand motor car on credit from B Brothers will be recorded in Journal Proper.
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Community Answer
In which book of original entry, will you record the following transac...
Correct answer should be option a. As all of the rest type of book doesn't fit for this type of transaction.
As in case of sales book we only enter the transaction related to the sale and service provided by an enterprise.
In case of cash book we only enter those transaction relating to cash but the motor car is purchased on credit.
And in case of purchase book only those purchases which are meant for sell by an enterprise for the purpose of earning profit is entered in it.
Hence, this miscellaneous business transaction doesn't fit in any of the book and thus will be recorded in Journal Proper.
As in case of sales book we only enter the transaction related to the sale and service provided by an enterprise.
In case of cash book we only enter those transaction relating to cash but the motor car is purchased on credit.
And in case of purchase book only those purchases which are meant for sell by an enterprise for the purpose of earning profit is entered in it.
Hence, this miscellaneous business transaction doesn't fit in any of the book and thus will be recorded in Journal Proper.
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In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer?
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In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer?.
In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for In which book of original entry, will you record the following transactions?Q.A second hand motor car was purchased on credit from B Brothers for Rs. 10,000.a)Journal Proper (General Journal)b)Sales Bookc)Cash Bookd)Purchase BookCorrect answer is option 'A'. Can you explain this answer?.
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