Purshase Day book

That is up to the company. Sometimes they will have separate day books for different types of purchases on credit (e.g. buying a car on credit). Other times they will use just one purchase day book, but have analysis columns (e.g. column for goods bought on credit; column for cars bought on credit etc.) Other times they will use the purchase day book only for goods bought on credit, and then use the journal to record any others such as cars bought on credit. There is no rule - it is up to the company to decide, depending on the type of business and the size of the business etc..

yes... but what is the answer from the exam point of view?

It is what I have already typed :-) However normally it would just be purchases of goods on credit.

:) thank u!

You are welcome :-)

i take my fa1 on the 21st or the 3rd march....so clearing up all queries... thank u for ur help!