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← Accounting notes
Edexcel IAL·Accounting·IAL Accounting

Books of Prime Entry & Ledgers

12 min read

The books of prime entry, the ledgers, and posting transactions through the system.

Books of prime entry

Transactions are first recorded in day books before posting to ledgers:

| Book of prime entry | Records | |---|---| | Sales day book | credit sales | | Purchases day book | credit purchases | | Sales returns day book | returns from customers | | Purchases returns day book | returns to suppliers | | Cash book | cash and bank receipts/payments | | Petty cash book | small cash payments | | The journal | other entries (e.g. corrections, year-end) |

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The Accounting Equation & Double Entry

The Trial Balance & Error Correction

The Income Statement

Statement of Financial Position