A purchase journal is a specialised accounting journal and it is also a prime entry book/daybook/main entry book which is used in an accounting system to keep track of the orders of items placed using

accounts payable Accounts payable (AP) is money owed by a business to its suppliers shown as a liability on a company's balance sheet. It is distinct from notes payable liabilities, which are debts created by formal legal instrument documents. An accounts payabl ...

. Simply a purchase journal can be defined as the main entry book which is used to record

credit Credit (from Latin verb ''credit'', meaning "one believes") is the trust which allows one party to provide money or resources to another party wherein the second party does not reimburse the first party immediately (thereby generating a debt) ...

transactions (credit purchases) for resalable purposes. The

Source document A source document is a document in which data collected for a clinical trial is first recorded. This data is usually later entered in the case report form A case report form (or CRF) is a paper or electronic questionnaire specifically used in clin ...

which is used as an evidence in recording transactions into purchase journal is Purchase invoice. Credit purchase of current assets/Non current assets are not considered when recording in Purchase journal.

Double entry related to credit purchase for resalable purpose

*Purchase a/c Debit *Creditors a/c Credit

References

{{Reflist Accounting journals and ledgers Accounts payable

Double entry related to credit purchase for resalable purpose

See also

References