PRC-1 · Chapter 2 · Question 67 of 100
'Quantum Corp' sold obsolete non-current assets (old office computers) on credit for Rs. 40,000. In which book of prime entry is this transaction recorded?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) General Journal
Explanation
The Sales Day Book is strictly for recording the credit sale of trading inventory. Selling a non-current asset on credit is a non-routine disposal recorded in the General Journal.
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