Asked by vaughn peens on Apr 26, 2024

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In which journal is the receipt of a promissory note from a customer on account recorded?

A) revenue journal
B) cash receipts journal
C) general journal
D) purchases journal

Promissory Note

A financial instrument in which the writer promises in writing to pay a determinate sum of money to the payee under specific terms.

Revenue Journal

A specialized accounting journal used to record all incoming revenues and sales transactions of a company.

Cash Receipts Journal

A dedicated accounting journal used to record all cash inflows or money received by a business.

  • Understand the procedures for recording transactions in special and general journals.
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Verified Answer

MC
Mario CardenasMay 01, 2024
Final Answer :
C
Explanation :
The receipt of a promissory note from a customer on account is a non-cash transaction that does not fit the specific criteria for entries in the revenue, cash receipts, or purchases journals. Therefore, it is recorded in the general journal, which is used for recording transactions that do not fit into the specialized journals.