Accounting Books of Original Entry

What is the primary purpose of "Books of Original Entry" in accounting?

• To summarize all financial transactions at the end of an accounting period.

• To record all transactions for the first time in a systematic manner.

• To prepare financial statements like the balance sheet and income statement.

• To track only cash-related transactions of a business.

Which specific journal is used to record all credit sales transactions?

• Purchase Journal

• Sales Return Journal

• Sales Journal

• Cash Book

What type of transactions are recorded in the Purchase Return Journal?

• All credit purchases

• All sales returns

• All purchase returns

• All cash purchases

Where are all cash transactions, including both cash and bank transactions, and discounts typically recorded?

• Sales Journal

• Purchase Journal

• General Journal

• Cash Book

A business purchases a fixed asset on credit. In which book of original entry would this transaction be recorded?

• Sales Journal

• Purchase Journal

• General Journal

• Cash Book

Which book records all credit sales transactions?

• Sales Return Journal

• Purchase Journal

• Sales Journal

• General Journal

How are sales from the Sales Journal posted to the Sales T-account?

• Each individual sale is posted separately.

• The total sum of sales for a period is posted as a single entry.

• Only cash sales are posted.

• Sales are not posted to the Sales T-account.

What type of accounts are contained in the Sales Ledger?

• T-accounts of all creditors

• T-accounts of all debtors

• T-accounts for cash and bank

• All remaining T-accounts

What type of accounts are contained in the Purchase Ledger?

• T-accounts of all debtors

• T-accounts for cash and bank

• T-accounts of all creditors

• All remaining T-accounts

Which T-accounts are typically NOT found in the General Ledger?

• T-accounts of debtors

• T-accounts of creditors

• Cash and Bank T-accounts

• Sales and Purchase T-accounts