Question

Give one transactions on sales of goods

Answer 1

Explanation:

In the initial stages of learning accountancy we use the element (account head) Goods or Stock. In analysing the transactions of purchase and sale, for the purpose of recording the journal, we conclude that one of the elements effected by those transaction is Goods/Stock.

Goods

A raw material or product that is bought and sold commercially

Articles of commerce

commodity

Stock

The merchandise that a shop has on hand

Inventory

The products that an organisation deals with in its business are what are identified as Goods.

Examples

For an organisation making and selling shoes, shoes are goods.

For an organisation which is in the business of buying and selling fertilizer, fertilizer is goods.

For an organisation in the business of making and selling aircrafts, aircrafts form goods.

For a road side vendor selling vegetables, vegetables form goods.