Page 70 - Book-keeping for Secondary Schools Student’s Book Form One

Book-Keeping for Secondary Schools

Exercise 4.3

1. Explain how a sales invoice may also be considered as a purchases invoice.

2. Mention any three reasons why a buyer may return goods to a supplier.
FOR ONLINE READING ONLY
3. Write up a sales returns daybook and show the total sales returns for the
month of June 2022 from the following details:
June 1 Received goods from Mzizima store:

20 boxes of coloured chalks @ TZS 15,000.
10 boxes of counter books @ TZS 20,000
Wrong specifications

10 Received goods from Mzinga shop:
20 cartons of water @ TZS 6,000.

25 boxes of biscuits @ TZS 5,000.
Expired

25 Received goods from Mzalendo store
5 bags of rice @ TZS 30,000.

2 bags of wheat flour @ TZS 20,000.
Less weight

Purchases returns daybook or purchases returns journal
When a business buys goods from a supplier, some situations may necessitate the
business to return the goods to the seller. This could happen due to reasons that may
be similar to the ones mentioned in the previous discussion on sales returns. When the

buyer returns the goods to the supplier, the supplier prepares a credit note to inform the
buyer that the supplier has credited the buyer’s account. The credit note indicates that
the claim or debt against the buyer's account has been reduced since the adjustment on
the overcharged amount on the invoice has been rectified. Full explanations or reasons
for returning the goods must be well stated on the credit note.

Sometimes, the owner business can return the goods to its supplier along with a debit

note as an indication that the supplier's account has been duly debited. However, it

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Student’s Book Form One

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