The books of prime entry, the two- and three-column cash book, discounts, the petty cash book and the imprest system.
Books of prime entry
Transactions are first recorded in books of prime entry (or subsidiary books) before being posted to the ledger. This keeps the ledger uncluttered and groups similar transactions.
| Book of prime entry | Records | Source document |
|---|---|---|
| Sales journal | credit sales | sales invoice |
| Purchases journal | credit purchases | purchase invoice |
| Sales returns journal | returns from customers | credit note issued |
| Purchases returns journal | returns to suppliers | credit note received |
| Cash book | all bank and cash transactions | receipts, paying-in slips, cheque counterfoils |
| Petty cash book | small cash payments | petty cash vouchers |
| General journal | all other items (e.g. opening entries, asset purchases on credit) | journal voucher |
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