These are the special journals with
various books of original book under the modern system of accounting for
recording first the various business transactions as well as they take
place. Earlier all the business transactions
were recorded in one book which was very inconvenient. In order to overcome the
this problem the large concerns have introduced the system of subsidiary.
Subsidiary Books
Subsidiary Books are the special journals created to record the various transactions in a systematic manner.
The special journals are the
subsidiary books that are commonly required to be maintained by a concern of fairly big
size firms are as follows,
§ The Purchase Books:
To record all credit purchases of goods. The purchase book is
written with the help of invoice receive
from suppliers of goods. This books provides all the information regarding the
purchases made by an organization of firm over a period of time.
§ The Sales Books:
To record all credit sales of the goods. This book provides all
the information regarding the sales taken has taken place over a period of
time.
§ Purchase Return Books:
To record all purchase returns. This book gives all the
information about the return of goods that were purchased by a business.
§ Sales Return:
To record all sales return. This book provides information
regarding the return of goods from the customer which were sold to them.
§ Cash Book:
To record all receipt & payment of cash.
§ Bills Receivables Books:
To record all bills of exchange accepted and promissory notes
receive by traders to his customer.
§ Bills Payable Books:
§ Journal Proper:
To record all those transaction that cannot be record in any of
the above subsidiary books. It means for recording transactions which do not
occur frequently.
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