Sir,
Can we create the ledger shree
Ganesh Je Maharaj Rs 1.25 Under Sundry creditors or any other
Please advise
2 Replies
Asha Kanta Sharma
(Manager - Finance & Accounts)
(36365 Points)
Replied 23 May 2020
Yes....You can create with such name.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 23 May 2020
Yes.
By purchases account
To Sundry creditors
in the Purchases ledger, in the debit column, input ‘To Sundry creditor or Inventory ’
In payables account, in the credit column, input ‘By Purchases’.
When cash is cleared
Debit payables ledger; Credit cash ledger.
It is complex sometimes and time consuming. The main confusion comes with the number of associated accounts a company holds. For example, Ganesh is a supplier account in personal accounts. His account should be used when it is a credit transaction only. There are other complexities in book keeping like the same name Ganesh appearing as an owner which is a capital account in personal accounts. On top of that, Internet versions of journals and ledger entries vary in representation i.e., they can use the name Sundry creditor instead of payables, supplies instead of purchases etc. So, keep all entries related to General Ledger. This will help you to follow a standard or method of recording transactions in a consistent manner. Being consistent in recording transactions will reduce cost constraints and anomalies. The General Ledger I referred to holds all the individual ledgers like
Payables
Assets
Liabilities
Expenses
Capital
Receivables
Purchases
Sales
Receivables
Returns
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