Accounting ProcessQuestion 4996 of 84
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Purchase Book: ♦ All credit purchases of goods are recorded in Purchase Book. ♦ Cash purchases are entered in the Cash Book and not in the Purchases Day Book. ♦ Credit purchases of things other than the goods dealt in by the firm are not entered in the Purchases Day Book; they are journalised. ♦ It is a subsidiary book/ subsidiary journal & posting is made from it to the purchases account and accounts of the suppliers. Posting: ♦ The total of purchase register is debited to purchase A/ c periodically say monthly & ♦ Individual amounts are credited to respective parties (suppliers) A/ c.

About This Chapter: Accounting Process

Paper

Paper 1: Accounting

Weightage

25-30%

Key Topics

Journal, Ledger, Trial Balance, Cash Book, Rectification

This chapter covers Journal, Ledger, Trial Balance, Cash Book, Rectification and is part of Paper 1: Accounting in the CA Foundation exam.

View Official ICAI Syllabus

Exam Strategy Tip

This topic carries 25-30% weightage. Focus on understanding core concepts rather than memorizing.

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