 Subsidiary books are the book of original

entry and it is also called primary records

because the first entry of transaction is made
in subsidiary books.

 On the basis of subsidiary books postings are

made into concerned account afterwards.
 Purchase book
 Sales book
 Cash book
 Purchase return book
 Sales return book
 Bills received book
 Bills payable book
 This book is used for recording goods
purchased on credit.

 also known as invoice book, bought book or

purchased journal.

 It is not necessary to record the transaction in

the journal book where they are entered in
the purchases book.
Date Particular Invoice L.F Amount
No.
 Sales book is used for recording goods sold
on credit.

 The record in sales book is made from the

outward invoice book which contain the exact
copy of each invoice sent out to the
customers.
Date Particular Outward L.F Amount
Invoice no.
 The book used for recording goods return for
the seller is called "Purchase Return Book".

 Also known as return outwards Books.

 While retuning goods buyer prepares debit

note.
Date Particulars L.F Debit Amount
Notes
 It is a book used for recording goods
returned by the buyer.

 Also known as returns inward book

 While keeping records in sales return books

sellers prepares a credit note.
Date Particular L.F. Credit Amount
Note
 To record cash transaction, separate book is
kept which is called Cashbook.

 The function of cashbook is to keep records

of all cash transactions.

 Cashbook takes the place of cash account

that is it is not necessary to open separate
cash account in the ledger after keeping
record in the cashbook.
 Simple cash book.

 Double column cash book.

 Triple Column cash book.

 Petty Cash book

 prepared like cash account in ledger.

 All the cash received are entered in amount

column on debit side and all cash paid appear
on credit side in amount column.

 Cash book is closed and balanced at the end

of the month.
Date Particular L.F. Amount Date Particular L.F Amount
 A cashbook with discount column is called
double column cashbook.

 Two accounts, cash and discount are

combined in this book. Discount allowed to
the customers represent loss.
Date Particular L.F Discount Amount Date Particular L.F Discount Amount
 A cash book with discount and bank column
is triple column cashbook. Three accounts are
combined.

 In business firm most of the payment are

received and paid by cheque. Transactions
are preformed through bank.
Date Particular L.F Discount Amount Bank Date Particular L.F Discount Amount Bank
 Used to record small amount of expenses.

 Like stationary, cleaning charges and

postage.
Date Particulars Amount Date Particulars Amount
 bills receivable book is used to record the
bills received from debtors. When a bill is
received, details of it are recorded in the bills
receivable book.

 In the ledger the account of the person from

whom each bill is received is credited with the
amount of that bill and the periodical total of
the book is posted to the debit of bills
receivable account.
 From whom
Date Term Due date L.F. Amount
received
 Bills payable book is used to record bill
accepted by us. When a bill drawn by our
creditor is accepted particulars of the same
are recorded in this book.

 In the ledger, the account of each person

whose bill has been accepted is debited with
the amount of the bill. The monthly total of
the bills accepted is credited to the bills
payable account ledger.
 To whom
Date given Term Due date L.F. Amount