Unit 2 Books of Prime Entry

In the course of business, source documents are created. The details on these source documents need to be summarized, otherwise the business might forget to ask for some money, or forget to pay some, or even accidentally pay something twice. It needs to keep records of source documents of transactions, so that it known as what is going on. Such records are made in books of prime entry.

原始憑證被分類記入不同的原始賬簿。

Several books of prime entry exist, each recording a different type of transaction. Look at Table 3.1.

2.1 Sales Day Book

The sales day book is the book of prime entry for credit sales（i.e., the goods are sold and payment is collected at a later date）. The sales day book is used to keep a list of all invoices sent out to customers each day. Cash sales are recorded in the cash book.

銷售日記賬是記錄賒銷業務的原始賬簿。

現金銷售業務記錄在銀行存款日記賬。

Table 3.2 shows an extract from a sales day book might look like this.

The total sales for the day of $1487.80 will be entered into the accounting ledgers in double entry format.

2.2 Purchase Day Book

The purchase day book summarises the daily purchases made on credit terms. Cash purchases are recorded in the cash book.

采購日記賬匯總記錄企業發生的賒購業務。現金采購業務記錄在銀行存款日記賬。

Table 3.3 shows an extract from a purchase day book might look like this.

The total purchases for the day of $562.00 will be entered into the accounting ledgers in double entry format.

Note that：

There is no ‘invoice number'column, because the purchase day book records other people's invoice, which have all sorts of different numbers.

2.3 Sales Returns Day Book

When customers return goods for some reason, a credit note is raised. All credit notes are recorded in the sales returns day book.

所有的貸項通知單記錄在銷售退回日記賬中。

Table 3.4 shows an extract from the sales returns day book.

A business with very few sales returns may record a credit note as a negative entry in the sales day book.

2.4 Purchase Returns Day Book

The purchase returns day book records credit notes received in respect of goods which the business sends back to its suppliers.

采購退回日記賬記錄由于商品退回給供應商而收到的貸項通知單。

Table 3.5 shows an extract from the purchase returns day book.

Once again, a business with very few purchase returns may record a credit note received as a negative entry in the purchase day book.

2.5 Cash Book

All transactions involving cash at bank are recorded in the cash book. Many businesses have two distinct cash booksa cash payments book and a cash receipts book. It is common for businesses to use a columnar format cash book in order to analyse types of cash payment and receipt.

很多企業有兩本不同的銀行存款日記賬——銀行付款日記賬和銀行收款日記賬。

The receipts part of the cash book would look like Table 3.6 shown below.

2.6 Petty Cash Book

A petty cash book is a cash book for small payments. Although the amounts involved are small, petty cash transactions still need to be recorded. Otherwise, the cash float could be abused for personal expenses or even stolen.

現金日記賬是記錄零星現金收支的日記賬。

The cash receipts will be recorded together with the payments which will be analysed in the same way as a cash book. There are usually more payments than receipts, and petty cash must be‘topped up'from time to time with cash from the business bank account. A typical layout looks as Table 3.8 shows.

An imprest system will be adopted for the petty cash book. Under the imprest system, the petty cash is kept at an agree sum, so that each topping up is equal to the amount paid out in the period.

在定額備用金制度下，現金保持定額數，因此現金的補足金額與現金的使用數額相等。

2.7 The Journal

The journal is the record of prime entry for transactions which are not recorded in any of the other books of prime entry.

The journal is used to record：

·the correction of errors；

·差錯更正；

·writing off bad or irrecoverable debts；

·沖銷壞賬；

·depreciation charge；

·計提折舊；

·other items not recorded in other books of prime entry.

·不能記入其他日記賬中的其他事項。

Note that：

The presentation and the narrative explanation of the transaction, which is a requirement for all journal entries.

Table 3.9 is an example of journal.