Cash Book - Session 7

Cash Book • It is a special journal in which all cash transactions are recorded. • Cash book shows the cash receipts and the cash payments. • The cash book resembles a ledger with debit & credit sides. • The balance represents cash on hand at the end of the accounting period.

Cash Book Dr.

Date Partic L.F. ulars

Cr.

Amt. Date Partic L.F. ulars (Rs)

Amt. (Rs)

Contra Entries • If a transaction affects cash a\c & bank a\c only, entry for recording the transaction is called a contra entry.

Petty Cash Book • The petty cash expenses are recorded in the petty cash book. • This would avoid recording too many small value transactions in the main cash book. • The petty cash book would contain a number of analytical columns for grouping the various expenses.

Petty Cash Book Amt. Date Partic Total PrintinCarria Travel Sundr ulars amt g & ge ling y Recd paid Statio Expen Expen ses nery ses