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Purshase Day book

Forums › FIA Forums › FA1 Recording Financial Transactions Forums › Purshase Day book

  • This topic has 6 replies, 2 voices, and was last updated 11 years ago by mansoor.
Viewing 7 posts - 1 through 7 (of 7 total)
  • Author
    Posts
  • February 13, 2014 at 3:39 pm #158594
    mansoor
    Participant
    • Topics: 424
    • Replies: 542
    • ☆☆☆☆

    Does the PDB have purchases on credit OTHER than the trade creditors?

    February 13, 2014 at 4:58 pm #158605
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    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..

    February 13, 2014 at 5:02 pm #158607
    mansoor
    Participant
    • Topics: 424
    • Replies: 542
    • ☆☆☆☆

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

    February 13, 2014 at 5:09 pm #158608
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    It is what I have already typed 🙂

    However normally it would just be purchases of goods on credit.

    February 13, 2014 at 5:11 pm #158610
    mansoor
    Participant
    • Topics: 424
    • Replies: 542
    • ☆☆☆☆

    🙂 thank u!

    February 13, 2014 at 5:13 pm #158611
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    You are welcome 🙂

    February 13, 2014 at 5:17 pm #158612
    mansoor
    Participant
    • Topics: 424
    • Replies: 542
    • ☆☆☆☆

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

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