FACULTY OF BUSINESS

ACCOUNTING SCHOOL

SHOPPING BOOK
COURSE:

APPLIED ACCOUNTING
AUTHOR:

BRIDGET BRENDA SALINAS GAMARRA

TEACHER:

PEDRO COSTILLA CASTILLO

Lima- Perú

2023

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 INDEX
I.INTRODUCTION

II. DEVELOPMENT
2.1 Characteristics
2.2 Objective
2.3 What should be taken into account to record purchases and
expenses?

III. BIBLIOGRAPHIC REFERENCES

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 I. INTRODUCTION:
The Purchase Ledger is a special journal that is used to record all our
company's purchases from external vendors that bill us, also known as
purchase and expense books, they are accounting records that companies use
to record and control the acquisitions they make. performed during a specified
period of time. It is an important part of the company's accounting, as it provides
detailed information on purchase transactions and related expenses.
The purchase book generally includes the following information for
each purchase:
• Purchase Date: The date the transaction was made.
• Supplier: collect the data of the supplier of goods or services.
• Invoice number: the number of the invoice received from the provider.
• Description of goods or services: a detailed description of the items or services
purchased.
• Purchase amount: the total amount paid to the vendor, including and any
additional charges.
• Taxes: Any applicable taxes on the purchase, such as Value Added Tax (VAT)
or other specific taxes.
• Method of payment: how the payment was made, whether in cash, by bank
transfer, by credit card or another method.
• Cost center: if the company uses a cost center system, it can be indicated in
which cost center the purchase is assigned.
• Ledger Account – The ledger account to which the purchase is assigned for
proper recording in the financial statements.
This book is a valuable tool for verifying a company's costs, such as for tracking
tax debt. It allows keeping an orderly and detailed record of all purchases,
facilitating reconciliation with invoices received from suppliers and verification of
taxes paid. In addition, it provides relevant information for financial reporting
and cost analysis.

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II. DEVELOPMENT:

2.1. CHARACTERISTICS
The purchase ledger has several important features that distinguish it
as a specific accounting record for a company's purchases. Some of
the main features are:

• Chronological record: The purchase ledger records purchase

transactions in chronological order, which makes it possible to follow
the flow of operations over time.

• Purchase details: Each entry in the purchase ledger provides

detailed information about the transaction, such as the date, vendor,
invoice number, description of the goods or services, purchase
amount, applicable taxes, the method of payment, etc.

• Comprehensive record: The purchase book must include all

purchases made by the company, whether of goods or services,
regardless of their amount. This ensures that no transactions are
missed and that a complete record of purchases is kept.

• Documentary support: The purchase book must be supported by

invoices, receipts or other documents that support each recorded
purchase. These documents must be filed in an organized and
accessible manner for later consultation or audit.

• Tax control: The purchase book is essential for the control and
calculation of taxes applicable to purchases, such as VAT. It allows
determining the total amount of taxes paid and facilitates the
presentation of the corresponding tax returns.

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• Legal compliance: The purchase ledger is a legal requirement in
many countries and is subject to specific regulations. It must be kept
up to date and available for review by tax or audit authorities.
• Accounting integration: The information recorded in the purchase
book is used to make the corresponding accounting records in the
company's accounting system. This involves assigning the purchases
to the appropriate ledger accounts for later inclusion in the financial
statements.

These characteristics guarantee that the purchase book is a reliable

and complete resource for the control of a company's purchases, as
well as for compliance with legal and fiscal obligations.

2.2. Objective

The main purpose of the purchase ledger is to provide a systematic

and complete record of all purchases made by a company. Some of
the specific objectives of the purchase book are:

Record of transactions: The purchase book allows an organized and

detailed record of all purchases of goods and services made by the
company. This includes the date of purchase, the supplier, the
description of the goods or services purchased, the quantity, the price
and any other relevant details.

2.3 What should be taken into account to record purchases and

expenses?
Accounting subject: the company and its owners are separate
entities, so financial activities of a personal nature cannot be included
in the accounting. Accruals: Accrued income or expenses are taken
into account in a given financial year or period of time, regardless of
whether they are paid within it.
Compliance: An invoice should only be recorded if it is legally
enforceable, that is, if there is a document that all parties must

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 comply with and that cannot be based on a promise or potential
alliance.
Historical cost: It is a record of the operation to be carried out with the
original price of the invoice. This documentation must be provided
physically or electronically.
Consistency: The quantitative reporting process should be used
consistently throughout the period and any changes should be
explained.

III. REFERENCIAS:
Philippe. (2021). Libro contable: definición, tipos e importancia
https://blog.cforemoto.com/libro-contable-definicion-tipos-importancia/
acd system. ¿Por qué es importante llevar un registro de Compras y
Gastos?
https://acdsystemcr.com/website/por-que-es-importante-llevar-un-
registro-de-compras-y-gastos/