Sales Book
Also known as Sales Day Book or Sales Journal.
Purpose
To record all credit sales of goods dealt in by the business.
⚠️ Important Exclusions:
- Cash Sales: Recorded in Cash Book.
- Sale of Assets: Recorded in Journal Proper (e.g., selling old office furniture on credit).
Format of Sales Book
| Date | Name of Customer (Account to be Debited) | Outward Invoice No. | L.F. | Details (₹) | Total Amount (₹) |
|---|---|---|---|---|---|
Solved Example
Record the following in Sales Book of M/s Ram Electronics for April 2024:
-
Apr 02: Sold to Ramesh Traders, Pune:
- 2 TVs @ ₹20,000 each
- Trade Discount @ 10%
-
Apr 12: Sold to Suresh & Co., Nagpur:
- 10 Music Systems @ ₹5,000 each
- Trade Discount @ 5%
-
Apr 18: Sold old typewriter to Mr. X on credit for ₹500.
-
Apr 25: Sold goods to Mahesh for Cash ₹10,000.
Solution: Sales Book
In the books of M/s Ram Electronics
| Date | Name of Customer | Inv. No. | L.F. | Details (₹) | Total (₹) |
|---|---|---|---|---|---|
| 2024 | |||||
| Apr 02 | Ramesh Traders, Pune | 201 | |||
| 2 TVs @ ₹20,000 | 40,000 | ||||
| Less: Trade Discount @ 10% | (4,000) | 36,000 | |||
| Apr 12 | Suresh & Co., Nagpur | 202 | |||
| 10 Music Systems @ ₹5,000 | 50,000 | ||||
| Less: Trade Discount @ 5% | (2,500) | 47,500 | |||
| Apr 30 | Total | 83,500 |
Notes:
- Apr 18 (Mr. X): Ignored because it is Sale of Asset (Typewriter), not goods. Goes to Journal Proper.
- Apr 25 (Mahesh): Ignored because it is Cash Sale. Goes to Cash Book.
Ledger Posting from Sales Book
-
Customer Accounts (Debtors):
- Debit each customer's account with their respective net amount.
- Example: Debit Ramesh Traders with ₹36,000.
-
Sales Account:
- Credit the Sales Account with the Total of the Sales Book at month-end.
- Entry: "By Sundries as per Sales Book ... ₹83,500".
Quiz
Test Your Knowledge
Question 1 of 5
1. Sales Book records:
💡 Final Wisdom: "Sales Book is the happy book - it shows money coming in (eventually)! Just remember: Credit + Goods Only. Everything else is shown the door."