C 2 - section 5 - Purchase returns day book. Flashcards Preview

AAT L2 - Bookkeeping trans' Chap' 2 > C 2 - section 5 - Purchase returns day book. > Flashcards

Flashcards in C 2 - section 5 - Purchase returns day book. Deck (3)
Loading flashcards...
1
Q

Purchase returns day book (PRDB) definition.

A

A purchase returns day book is a list of all the credit notes recorded for a given period.

2
Q

When are purchase returns added to the purchase day book?

A

Some businesses that don’t have many returns, may include purchase returns invoices in with the purchase day book instead of running a separate book.

in such cases, purchase return credit notes will be added as a negative number.

3
Q

how are PRDB laid out?

A

They are laid out in a similar fashion to purchase day books, with the notable exception of the ‘invoice number column’ being switched out for a ‘credit note number’ column.