Accounting for IGCSE & O level - Accounting Procedures (Section 3 - No. 35)
If a business purchases inventory on credit, what is the journal entry?
Debit Cash, Credit Purchases
Debit Purchases, Credit Cash
Debit Purchases, Credit Trade Payables
Debit Trade Payables, Credit Purchases
Explanation
Purchases are debited, trade payables are credited.
Comments (0)
