Cash book!!
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SUBSIDIARY BOOKS BY:- Shikhar,Sourabh,Pravesh
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Transcript of Cash book!!
SUBSIDIARY
BOOKSBY:- Shikhar,Sourabh,Pravesh
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.
Introduction
Advantages :-1) Division of work
according to ability.
2) Increase in Efficiency.3) Easiness on Posting.4) Easiness in checking.5) Protection from Frauds.6) Full information at one
place,7) Flexible.8) Fixation of Responsibility.
Disadvantages:-1) They may be expensive in
case of a small business as in a small business it is best to keep journal.
2) it requires some basic knowledge of accountancy as if any of the entries are recorded incorrect then it will be a problem or they need to be rectified.
Subsidiary Books
Purchase book Sales book Cash book Purchase return book Sales return book Bills received book Bills payable book
Types OF Subsidiary books
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.
Cash Book
Simple cash book
Double column cash book
Triple Column cash book
Petty Cash book
Types of 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.
Simple Cash Book
FORMAT OF SIMPLE CASH BOOK
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.
Double Column Cash Book
DOUBLE COLUMN CASH BOOK FORMAT
Date
Particular L.F Discount Amount Date Particular L.F Discount Amount
TRIPLE COLUMN CASH BOOK 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.
TRIPLE COLUMN CASH BOOK
Date Particular L.F Discount Amount Bank Date Particular L.F Discount Amount Bank
PETTY CASH BOOK
Used to record small amount of expenses.
Like stationary, cleaning charges and postage.
FORMAT OF PETTY CASH BOOK
Date
Particulars
Amount
Date Particulars
Amount
Thank You
