PRC-1 · Chapter 2 · Question 3 of 100
'Apex Logistics' bought a new delivery truck on credit for Rs. 2.5 million. Which book of prime entry is used to correctly record this transaction?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) General Journal
Explanation
The purchases day book is strictly for trading inventory bought on credit. The purchase of a non-current asset (like a delivery truck) on credit is a non-routine transaction that must be recorded in the general journal.
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