Page 40 - F3 -FA Integrated Workbook STUDENT 2018-19
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Chapter 3
Books of prime entry
3.1 Books of prime entry
All transactions are initially recorded in a book of prime entry.
A book of prime entry is the place where a transaction is first recorded in the
accounting records of a business. It is a list of similar transactions in date/sequential
order which is then periodically totalled. The totals are then posted into the general or
nominal ledger as part of the double-entry accounting system.
Several books of prime entry exist, each recording a different type of transaction as
follows:
Book of prime entry Transaction type
Sales day book Credit sales
Purchases day book Credit purchases
Sales returns day book Return of goods sold on credit
Purchases returns day book Return of goods bought on credit
Cash book All bank transactions
Petty cash book All small cash transactions
The journal All transactions not recorded in any other day book
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