Sundry Debtors
Sundry can signify various, miscellaneous, or diverse. Sundry debtors may refer to a company’s clients who infrequently make purchases on credit and the amounts they purchase are not important.
Sundry debtors are clients who have made occasional credit purchases in small amounts and be obliged funds to the company. For example, when goods are sold to a person on credit that person pays the price in future. He is called a debtor because he owes the amount to the firm, generally consumers of goods/ services are known as debtors. Sundry debtors might refer to a company’s consumers who hardly ever make purchases on credit and the amounts they purchase are not important.
In the ledger there are lot of personal accounts, some of them may explain debit balances, some others may show credit balances. If all the names are to be written in the trial balance it will be excessively long. Therefore, a list of names with the debit balances is prepared. This list is known as ‘Sundry Debtors’ (Sundry means ‘many’). Likewise, a list of names with the credit balances is organized. This list is known as ‘Sundry Creditors’.
