Books of Prime Entry
- Before entries are transferred to a ledger, transactions are recorded in books of prime entry. These record goods sold on credit, goods purchased on credit, sales returns, and purchase returns. These help in summarizing accounting information and are useful when preparing control accounts.
- There are seven books of prime entry: General Journal, Cash book, Petty Cash book, Sales Journal, Sales Return Journal, Purchase Journal, and Purchase Returns Journal.
| NAME | CONTAINS |
| Sales Journal (Taken from Invoice Sent) | Name of business goods are sold to Amount of transaction Date of transaction |
| Sales Returns Journal (Taken from Credit Notes Sent) | Name of business which returns goods Amount returned Date returned |
| Purchase Journal (Taken from Invoice Received) | Name of business goods are purchased from Amount of transaction Date of transaction |
| Purchase Returns Journal (Taken from Credit Notes Received) | Name of business goods are returned to Amount returned Date returned |
FORMAT
