Question

what is the NON-POSTING ACCOUNTS AND EXAMPLES

Answer 1

Non posting account are the accounting record but they are not recorded as in journal way because they do not have any dollar value. So, they are called non posting account because they cannot be posted anywhere.

Examples of non posting account

1. Purchase order

Purchase order is the order that we make for the purchase of goods or inventory. Unless the goods are received at our end, the purchase order is recorded in a purchase order book and once the inventory or goods is received it is reduced from the purchase order book and recorded in purchases account at the goods value.

2. Sales order are the orders from the customer that not in stock. Once the item is received they are recorded in the name of the customer and reduced from the sales order book.