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Mention the subsidiary book in which following transactions are recorded:a) Purchased machinery on Cr.b) Purchased goods on Cr.c) Goods returned by Drs.d) Sale of old furniture for cashe) Bad debtsf) Sale of vehicle on creditg) Sale of goods on credit​

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Answer:

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Solution :

(i) Journal Proper: Because purchase of fixed assets on credit is recorded in Journal Proper.

(ii) Sales BOOK: Because Sales Book records only credit sales of goods.

(iii) Sales Return Book: Because goods returned by customer are recorded in Sales Return Book.

(iv) PURCHASES Book: Because Purchases Book records only Credit Purchases of goods.

(v) Journal Proper: Because Journal Proper records all those transactions which cannot be recorded in any of the other subsidiary books . Interest on proprietor's capital is also one of those items which can only be recorded in Journal Proper.

(VI) Purchases Return Book: Because it records only goods returned by the firm to its suppliers.

(VII) Cash Book: Because it records cash receipts and cash PAYMENTS.



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