Suppliers personal a/c are seen in the

Question

Suppliers personal a/c are seen in the

1. A. Sales Ledger
2. B. Nominal ledger
3. C. Purchases Ledger (Correct answer)
4. D. General Ledger

Correct Answer

Option C — Purchases Ledger

Detailed Solution & Explanation

The correct answer is Purchases Ledger.

Key Points

• Suppliers' personal accounts (accounts payable/creditors) are maintained in the Purchases Ledger (also called the Creditors' Ledger).
• The Sales Ledger holds debtors' accounts.

Additional Information

• The ledger is subdivided into the Purchases (Creditors) Ledger for suppliers, the Sales (Debtors) Ledger for customers, and the General Ledger for everything else.
• Under the traditional classification, suppliers and customers are personal accounts, governed by *debit the receiver, credit the giver*.
• The other two classes are real accounts — assets — under *debit what comes in, credit what goes out*, and nominal accounts — incomes and expenses — under *debit all expenses and losses, credit all incomes and gains*.
• Control accounts in the general ledger summarise each subsidiary ledger, so the totals can be cross-checked.