Vidyalelo
Commerce · Q124

Accounting

Graduate and Post Graduate · Commerce · question 124

Q124

Purchase of office equipment for cash will be recorded on which side of a cash book?

A.
Receipts
B.
Payments
Answer
C.
Incomes
D.
Expenditures

Answer: Option B

Solution

Answer: Option B
Solution:
Purchase of office equipment for cash will be recorded on Payments side of a cash book. All transactions in the cash book have two sides: debit and credit. All cash receipts are recorded on the left-hand side, and all cash payments are recorded by date on the right-hand side.