It is maintained in order to have complete records regarding the sales of merchandise ,by a company.Whenever the company needs to look into the past records,the sales journal is checked.
What Is The Purpose Of Sales Journal Book?
When a business supplies goods to a customer, an invoice is made out. The top copy is sent to the purchaser who records it in his Purchase journal book. The delivery of the goods will now take place, but meanwhile the seller who made out the invoice has to record the transaction in his book. The book in which he records the transaction is now the 'Sales Journal'. The second copy of the invoice, which is retained by the seller, will be entered into this book of original entry.
There are so many customers to whom goods are sold in a day. So every day a bundle of invoices made out by the invoice department of the seller, whose top copies have already been sent to the purchasers, will be given to the sales journal clerk, who will enter them in the Sales Journal.
The ruling of the sales journal is exactly the same as the purchase journal, and is illustrated below with the help of an example, suppose, on 20.1.2001, we sold to David & sons. 10 cartons of baby soap @ US $ 200 per cartoon. We made out an invoice and sent the top copy of invoice to David & sons. The second copy of the invoice is retained by us. This transaction is recorded in the sales journal on the basis of this copy.
There are so many customers to whom goods are sold in a day. So every day a bundle of invoices made out by the invoice department of the seller, whose top copies have already been sent to the purchasers, will be given to the sales journal clerk, who will enter them in the Sales Journal.
The ruling of the sales journal is exactly the same as the purchase journal, and is illustrated below with the help of an example, suppose, on 20.1.2001, we sold to David & sons. 10 cartons of baby soap @ US $ 200 per cartoon. We made out an invoice and sent the top copy of invoice to David & sons. The second copy of the invoice is retained by us. This transaction is recorded in the sales journal on the basis of this copy.