Business transactions are numerous and it becomes difficult to record all the transactions in one book of prime entry, i.e., Journal Book. For example, in a business, most of the transactions may relate to receipt and payment of cash, sale of goods and their purchase. It is convenient to maintain a separate book for each such class of transactions—one to record cash transactions, another to record purchase of goods and yet another to record sale of goods. Book of this type is called a book of original entry or prime entry. Journal entry is not passed for the transactions recorded in such books. They are posted to the ledger accounts. The system is called the Practical System of Accounting. These books of original or prime entry are also called a Special Journal or Subsidiary Books.

SUBSIDIARY BOOKS OR SUB-DIVISION OF JOURNAL:- We had discussed earlier that it is practically difficult to record all the transactions in only one book of prime entry.
For convenience, the Journal is divided into
(i) Special books- Followings are the different types of special books (Subsidiary Books). These are:
1. Cash Book: To record receipts and payments of cash, including receipts into and payments out of the bank.
2. Purchases Book: To record credit purchases of goods dealt in by the firm. All credit purchases of goods are recorded in this book.
3. Sales Book: To record the credit sales of goods dealt in by the firm.
4. Purchases Return Book: To record the return of goods previously purchased on credit
5. Sales Return Book: To record the return of credit sales made by customers.
6. Bills receivable book
7. Bills payable book

(ii) Journal Proper-
To record the transactions which cannot be recorded in any of the books mentioned above. It is also called journal entry.

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