Question

Mr small made credit purchase from the mr big 1500

Answer 1

Explanation:

Journal

In the books of Mr. Small

Purchases Account. dr.1500

to Mr. Big. 1500

(being goods purchased on credit)

In the books of Mr. Big

Mr. Small. dr.1500

to Sales Account. 1500

(being goods sales on credit)

Answer 2

Answer:

Mr. small Dr. 1500

to sales account. 1500

Explanation:

here Mr. small made purchases from Mr. big and we are making Mr. big's account so here Mr. small purchased some goods on credit from Mr. big that means for Mr. big its a sale done on credit basis.

in this transactiion Mr. small will act as a debtor (asset) to Mr. big and mr. big is contributing to sales (income)

so conclusion is:-

Mr. small - debtor( asset is increasing so debit)

to sales account (income is increasing so credit)