A Purchase of Supplies For Cash is Recorded In The?
A purchase of supplies for Cash or Bank is recorded in the Cash Payments Journal as it is used to record cash payments transactions only. All Credit Purchases are recorded in the Purchase Journal or Purchase Day cook . Supplies is co nsidered as a Current Asset whe n these are utilized within one year otherwise, these are considered as Non Current Assets / Fixed Assets . For example, if Mr. A purchased Papers & Inks worth Rs. 5000 from his supplier for cash, then following Entry is passed in the Cash Payments Journal as shown below: Office Supplies Account 5000 ...