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What general ledger journal entries are triggered by the purchases system? From which departments do these journal entries arise?

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Final answer:

General ledger journal entries triggered by the purchases system include debiting inventory or an asset/equipment or expense account and crediting accounts payable, arising from the accounting or finance department.

Step-by-step explanation:

The general ledger journal entries triggered by the purchases system typically involve the recording of the acquisition of goods or services on credit. These entries are generated from the accounting or finance department within an organization.

Common journal entries include:

  • Debiting the inventory account (for goods) or an asset/equipment or expense account (for services).
  • Crediting the accounts payable account, reflecting a liability to pay the vendor.

For example, if a company purchases inventory on credit, the entry would be to debit the inventory account and credit the accounts payable account. When the company eventually pays the supplier, it would debit the accounts payable and credit the cash or bank account.

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