Sako ‘lease note that dates have been assumed while entering the transactions. Also, observe the ‘Reentlon of entry. Accounts tobe debited are written first with Dr’ asa suffx, and accounts tobe credied are wiiten subsequently with a prefix To’. 1222 Subsidiary Books ‘Although once understood, the entries are easy tobe writen butif transactions are too many, fay Boe cao ranape hem anit, ge her ae 2 Pu Iaday Because the journal wil record all wansaction chronologically itmay be possible that the pada transactions could be scattered Le. they may not ll come together one afte the Sine Now atthe end of the day i the owner wants to know the total purchases made thedsy, tc accountant will spend time Rrst to retrieve all purchase transactions from Gnd then tke total This waste of imeand energy.” “Fis being the greatest inutaion of journal ti generally subdivided into more than one joumal Ok what logics sucha sub-division made? itis done onthe basis of similar transactions Jeet ave clubbed ina single book e.g, purchase transaction, sales transaction etc. The stb vision of joural is done a fllows: “Transaction ‘Subsidiary Book “Alcash and bank Wansacions Cash Book “has columns for ‘ash, bank and cash discount “ilereditparchase of goods — only those | Purchase book or Purchase Goods that are purchased forsale are | register covered here. ‘Allereditsale of 000 ‘Sales book or ales register ‘Alparchase returns Le retum of goods | Purchase Return book back to supplies duet defects “ilsalesrtums—ie ream of goods back | Sales retum book from customers Al il receivables these are bills Bills Receivable book accepted by customers tobe honoured st an agreed date. This is dealt within depth later in the study note “Ribs payable these ares accepted Bll Payable ook ‘by the business tobe honoured by paying tosuppliers at an agreed date Fora other transactions not coversdiin | Journal Proper any ofthe above categories ~Le. purchase forsale of assets, expense accruals, rectification entries, adjusting entries, ‘opening entries and closing entries. Let ussce the formats foreach ofthese and examples Mlustalion.