Introduction to Subsidiary Books | Accounting |
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In a Business, most of the transactions generally relate to receipts and payments of cash, sale of goods, and their purchase. It is convenient to keep a separate register for each such class of transactions one for receipts and payments of cash, one for purchase of goods, and one for sale of goods. A register of this type is called a book of original entry or of prime entry. For transactions recorded in such books, there will be no journal entries. The system by which transactions of a class are first recorded in the book specially meant for it and on the basis of which ledger accounts are then prepared is known as the Practical System of Book keeping or even the English System. It should be noted that in this system, there is no departure from the rules of the double-entry system
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TimeStamp
0:00: Introduction
0:34: Needs & Importance
3:31: Types of Subsidiary Books
4:50: Narration Difference
5:11: Ledger Comparison
7:06: Conclusion
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