Page 97 - DCOM101_FINANCIAL_ACCOUNTING_I

Unit 8: Subsidiary Books

Purchase Book Notes
Date Particulars L.F. Details Amount
` `
2008
Jan. 5 Lalit Mohan & Co.: Goods purchased 11,600
(-) 10% Discount 1,160 10,440
Jan. 21 Krishna & Co. 17,400
Jan. 31 Total: Purchases debited 27,840
Sales Book
Date Particulars L.F. Details Amount
` `
2008
Jan. 18 Karim: Sales return 800
Jan. 31 Sales Return debited 800

Purchase Return Book
Date Particulars L.F. Details Amount
` `
2008
Jan. 29 Krishna & Co.: Returns 1,200
Jan. 31 Purchase Returns Credited 1,200

Three Column Cash Book
Date Particulars L.F. Discount Cash Bank Date Particulars L.F. Discount Cash Bank
` ` ` ` ` `
2008 2008
Jan 1 To balance b/d - 31,400 50,800 Jan 2 By Purchases A/c - 8,200 -
To Karim - Jan 9 By Drawings A/c - - 1,000
Jan 20 To cash A/c - 8,000 Jan 15 By Lalit Mohan 440 10,000 -
Jan 26 To Karim c - - 4,400 Jan 23 By Krishna & Co. 600 - 12,000
Jan 28 To sales A/c - 2,000 - Jan 26 By Bank A/c c 4,400
Jan 31 To cash - 43,600 Jan 31 By Advertisement A/c - - 1,000
Jan 31 To Shobhit & Co. c - - 40,000 Jan 31 By Salaries A/c - 3,600 -
Jan 31 200 11,800 Jan 31 By Bank A/c - 40,000
Jan 31 By Investment A/c c - 2,250 -
Jan 31 By Balance C/d - 28,350 81,200
200 96,800 95,200 1,040 96,800 95,200
Feb 1 To balance b/d 28,350 81,200

8.8 Cash Book

Cash transaction is a transaction carried out only in terms of cash. The cash transactions are
recorded in the subsidiary book known as the cash book. The cash book can be classifi ed into
four categories:

1. Single columnar cash book
2. Double columnar cash book and
3. Three columnar cash book
4. Petty cash book
Note: Different type of cash books are discussed in next unit.

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