C 2 - section 5 - Purchase returns day book.

Question 1

Purchase returns day book (PRDB) definition.

Answer 1

A purchase returns day book is a list of all the credit notes recorded for a given period.

Question 2

When are purchase returns added to the purchase day book?

Answer 2

Some businesses that don’t have many returns, may include purchase returns invoices in with the purchase day book instead of running a separate book.

in such cases, purchase return credit notes will be added as a negative number.

Question 3

how are PRDB laid out?

Answer 3

They are laid out in a similar fashion to purchase day books, with the notable exception of the ‘invoice number column’ being switched out for a ‘credit note number’ column.