Subsidiary Books
Most of the large companies are recording the describe of piece of occupation concern transactions inward ane magazine together with the posting of the same to the concerned ledger accounts are real hard tasks together with which require to a greater extent than clerical labour also. For avoiding such form of difficulties close of the describe of piece of occupation concern organizations are subdividing the magazine inward to subsidiary journals or subsidiary books. Subsidiary books are those books of master copy entry inward which similar nature of transactions are recording inward a chronological order.
Kinds of Subsidiary Books
There are dissimilar kinds of subsidiary books which includes buy twenty-four hours book, Sales twenty-four hours book, buy returns book, Sales returns book, Bills receivable books, Bills payable books, Cash book.
1. Purchase twenty-four hours book
buy twenty-four hours mass is used for recording credit buy of goods only. This volition non tape whatsoever cash buy or credit buy of whatsoever assets. The term goods agency all the commodities together with services inward which the companionship deals inward twenty-four hours to twenty-four hours activities. The grooming of buy twenty-four hours mass involves the Date column, Particulars column, Invoice release column, Ledger folio column, inner total column together with Amount column.
2. Sales twenty-four hours book
Sales twenty-four hours mass is mainly used for recording credit sales of goods together with services inward an organization. This volition non tape whatsoever cash sales or assets sales. The ruling for the grooming of this mass is same every bit similar Purchase twenty-four hours book. This involves the Date column, Particulars column, Invoice release column, Ledger folio column, inner total column together with Amount column.
3. Purchase returns book
This is maintained to tape the transactions of goods returned to the supplier when buy on credit. The ruling of the grooming of buy render mass or returns outward mass involves Date, Particulars, Debit notation number, Ledger folio together with total column.
4. Sales returns book
This mass is used to tape the goods returned past times the client the goods sold on credit. The ruling of the grooming of Sales render mass or returns inward mass involves Date, Particulars, credit notation number, Ledger folio together with total column.
5. Bills receivable books
It is used to tape the transactions when the bills received from the client for credit sales. This provides a medium for posting bills receivable transaction. The grooming of this mass involves Date when received, Drawer, Acceptor, Where payable, engagement of bill, term, due engagement ledger folio, Amount, remarks columns.
6. Bills payable books
This is used to tape the acceptances given to the suppliers for credit purchase. The grooming of bills payable mass involves Date of acceptance, giver, payee, Where payable, engagement of bill, term, due date, ledger folio, Amount, remarks columns.
7. Cash book
The cash mass is used to tape all the receipts together with payments of cash. For the grooming of cash mass at that spot are dissimilar rules are available according to the nature of business. The dissimilar forms of cash mass are every bit follows:-
a. Simple Cash mass – This is the elementary cast of cash book.
b. Two column cash mass – This type of cash mass stimulate got ii columns similar cash column together with discount column.
c. Three column cash mass – This involves 3 columns such every bit Bank column, cash column together with discount column.
d. Petty cash mass - This is used to tape piffling expenses similar postage, cartage, printing together with stationery etc inward the twenty-four hours to twenty-four hours describe of piece of occupation concern activities.