UNIVERSITY OF THE PEOPLE

BUS 1102

LEARNING JOURNAL UNIT 4

Happy House Bakeshop uses a cash receipts journal, a sales journal, purchases journal, cash

disbursements journal, cash receipts journal, and a general journal. 

1. Identify which journal should be used to record each of the following transactions? 

A. Adjusting entry to record depreciation

= General journal

B. Purchase of baking equipment on credit

= Purchase journal

C. Sale of merchandise on credit

= Sales journal

D. Sale of merchandise for cash

E. Cash refund to a customer who returned a product that was purchased

= General journal

F. Return of merchandise to a vendor that was damage

= General journal

G. Payment of property taxes 

= General journal
H. Purchase of a delivery van for cash

= Cash disbursement journal

I. Purchase of merchandise on credit

= Purchase journal

2. Explain how special journals can benefit accounting personnel.

Special journal can benefit accounting personnel in a various way. The following are some of the

ways:

a) Increase in efficiency

By the adoption of special journals, the work of recording business transactions can be entrusted

to several employees who will become more familiar with their work. It is like the division of

labor that increases the efficiency of book-keepers or accountants.

b) Reduction in errors

Each special journal is handled by a particular person, who will become familiar with the work

assigned to him. This may result in a reduction of book-keeping errors.

c) Reduction in detailed recording

In special journals, each transaction is recorded in a single line which is designed to provide all

the necessary information. For example, the purchase of merchandise is recorded on a single line

including a credit to the supplier’s account and giving the supplier’s name, the date and the

amount and any other desired information.

d) Reduction in detailed posting

In special journals, the individual posting is eliminated. Only one posting for the total amount is

made to the relevant ledger account at the end of the month or another appropriate period

e) Reduces the chances of fraud

The chances of fraudulent alteration in an account is reduced because special journal transactions

are chronologically recorded and a particular person is responsible for its correctness

3. Explain what you have learned about companies using special journals.

The larger the business, the greater the likelihood that that business will have a large volume of

transactions that need to be recorded in and processed by the company’s accounting information

system. Thus, Thus, recording all transactions to the general journal makes it difficult to find the

particular tidbits of information that are needed for a single customer. The use of special journal

and subsidiary ledgers make the accounting information system more effective and allow for

certain types of information to be obtained more easily for the companies.

4. What information covered in Unit 4 interest you most and why?

The most interesting thing have learned from Unit 4 is analysing the relationship between

Special Journals, General journal and the General Ledger.

WORDS: 543

REFERENCE:

 rashidjaved (2016). What are Special Journals?PlayAccounitng. Retrieved from:

https://www.playaccounting.com/explanation/sj-exp/what-are-special-journals/
Franklin, M. Graybeal, P. & Cooper, D. (2020). Principles of accounting, volume 1: Financial

accounting. Open Stax Rice University. https://openstax.org/details/books/principles-financial-

accounting.