Discuss about classification of transaction, with example.
Transaction are three types cash transaction, credit transaction, paper
transaction.
Cash transaction: The transaction, which is occurred by cash is called
cash transaction. EX. Goods purchase in cash by RS. 5000.
Credit transaction: The transaction which is occurred in credit instead
of cash, and it is to be considered that the cash will be determine in
future, is called credit transaction. EX. Sold goods to Mr. X RS.4000 on
credit.
Paper transaction: The transaction which has no exchange of money,
but recorded in book of accounts as a transaction just for matching
the book of accounts, is called paper transaction. EX. Stock destroyed
by fire in the godowns for RS. 2 lakhs.
Transaction are three types cash transaction, credit transaction, paper
transaction.
Cash transaction: The transaction, which is occurred by cash is called
cash transaction. EX. Goods purchase in cash by RS. 5000.
Credit transaction: The transaction which is occurred in credit instead
of cash, and it is to be considered that the cash will be determine in
future, is called credit transaction. EX. Sold goods to Mr. X RS.4000 on
credit.
Paper transaction: The transaction which has no exchange of money,
but recorded in book of accounts as a transaction just for matching
the book of accounts, is called paper transaction. EX. Stock destroyed
by fire in the godowns for RS. 2 lakhs.
