1. Special Journals: Sales and Cash Receipts
Chapter 16

2. Using Special Journals
Special journals have amount columns that are used to record debits and credits to specific general ledger accounts
Most transactions are recorded on one line
Special journals simplify the journalizing and posting process
Using Special Journals
Journal
Transaction
Sales journal
Sale of merchandise on account
Cash receipts journal
Receipt of cash
Purchases journal
Purchase of any asset on account
Cash payments journal
Payment of cash, including payment by check
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3. Journalizing and Posting to the Sales Journal
Sales journal is for recording sales of merchandise on account
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4. Completing the Sales Journal
All special journals have amount columns used to record debits and credits to specific general ledger accounts.
Instead of posting each transaction separately to the general ledger, the column totals are posted.
Therefore, only three postings are made to the general ledger from the sales journal.
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6. Posting Sales Tax Payable and Accounts Receivable Totals
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7. Forwarding Totals to New Page
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8. Cash Receipts Journal Pg 459-460
To keep the customer account balances current, the entries in the AT Credit column are posted daily to the Accounts Receivable Subsidiary Ledger.
The entries in the General Credit column are posted daily to the individual general ledger accounts
At month-end, all special amount column totals are posted to the general ledger accounts named in the headings.

9. Receiving Cash for payment of Accounts
Receivable
Receiving Cash for Payment
of Accounts Receivable with
Discount
Receiving Cash for Sales
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10. Bankcard Sales
Receipt of cash for other
than AR or Bankcard
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11. Posting to the Accounts
Receivable Subsidiary Ledger
Posting to the
General Ledger
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12. Completed Cash Receipt Journal
The only column not posted as a total is the General Credit column.
Those transactions are posted individually.
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13. Proving the AR Subsidiary Ledger
The Accounts Receivable account is the Controlling Account for all AR Subsidiary Accounts
All accounts are included in alphabetical order, even those with a zero balance.
The Schedule of Accounts Receivable report is usually prepared at the end of each month.
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14. Schedule of Accounts Receivable
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15. Detecting Errors in the Subsidiary Ledger
Proving the AR Subsidiary Ledger with the controlling account verifies that the sum of the subsidiary ledger equals the controlling account’s ending balance.
Certain errors will be apparent such as: a transaction that wasn’t posted or a miscalculation of account balance.
It doesn’t ensure that transactions were posted to the correct customer account.
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