Special Journals by alicejenny

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									                CHAPTER 7


          ACCOUNTING
          INFORMATION
            SYSTEMS
           Accounting Principles, Eighth Edition

Chapter
  7-1
    Special Journals

     Advantages of Sales Journal
          One-line entry for each sales transaction saves
          time.

          Only totals, rather than individual entries, are
          posted to the general ledger.

          A division of labor results.




Chapter
  7-2             LO 3 Explain how companies use special journals in journalizing.
   Special Journals
  Cash Receipts Journal                                       Illustration 7-9




                                                                        See
                                                                         the
                                                                      Example
                                                                        page
                                                                        302


     In the cash receipts journal, companies record all receipts of cash.
     The posting of the cash receipts journal is similar to the posting of
     the sale journal. See complete Illustration 7-9 in the text.

Chapter                         Proving the equality
  7-3
                             See illustration 7-10 page 304
    Special Journals

     Review Question
          Cash sales of merchandise are recorded in the:
           a. cash payments journal.
           b. cash receipts journal.
           c. general journal.
           d. sales journal.




Chapter
  7-4              LO 3 Explain how companies use special journals in journalizing.
    Special Journals

     Review Question
          Which of the following is not one of the credit
          columns in the cash receipts journal:
           a. Other accounts.
           b. Accounts payable.
           c. Accounts receivable.
           d. Sales.



Chapter
  7-5              LO 3 Explain how companies use special journals in journalizing.
    Special Journals                                   Illustration 7-13



    Purchases Journal




                             Daily postings are made from the
                             purchases journal to the accounts
                                 payable subsidiary ledger.
Chapter
  7-6              LO 4 Indicate how companies post a multi-column journal.
    Special Journals                               Illustration 7-13



    Purchases Journal




                                At the end of the accounting
                             period, the company posts totals to
                                      the general ledger.

                     Proving the equality
Chapter
  7-7             See illustration 7-14 page 307
    Special Journals

     Review Question
          All of the following are advantages of using
          subsidiary ledgers except they:
           a. show transactions affecting one customer or
              one creditor in a single account.
           b. free the general ledger of excessive details.
           c. eliminate errors in individual accounts.
           d. make possible a division of labor.


Chapter
  7-8              LO 3 Explain how companies use special journals in journalizing.
    Special Journals
    Cash Payments Journal                                 Illustration 7-16




                                                                         See
                                                                          the
                                                                       Example
                                                                         page
                                                                         309


     In a cash payments (cash disbursements) journal, companies
     record all disbursements of cash.
     The procedures for posting the cash payments journal are similar to
     those for other journals.
Chapter
  7-9                    See illustration 7-16 page 308

								
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