PRC-1 · Chapter 3 · Question 68 of 100
The Sales Day Book shows a monthly total of Rs. 350,000. What is the correct double-entry for posting this total to the General Ledger?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Debit Receivables Control Rs. 350,000; Credit Sales Rs. 350,000
Explanation
The total from the Sales Day Book represents all credit sales. It is posted by debiting the Receivables Control account (increasing assets) and crediting the Sales account (increasing income).
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