- 4 Marks
Question
Define books of prime entry and list FOUR books of prime entry that could be maintained by an entity. (4 Marks)
Answer
Books of prime entry are the books in which day-to-day transactions of an entity are recorded before they are posted to the ledger accounts. Examples of books of prime entry include:
(i) Sales day book
(ii) Purchases day book
(iii) Sales returns/returns inwards book
(iv) Petty cash book
- Tags: Books of Prime Entry, Cash Book, Journal
- Level: Level 1
- Uploader: Theophilus