1. Special Journals: Purchases and Cash Payments
Chapter 17

2. Using the Purchases Journal
Purchases journal is for recording purchases on account. (Not just merchandise but anything on account)
Enter date the invoice was received not the date it was prepared
Pg 482

3. Purchases of
Merchandise
On account
Purchases of
Non Merchandise
On account
Pgs

4. Posting Merchandise
Posting Non-Merchandise
Pgs

5. Proving and Ruling
Special Amount
Columns
Posting Column Totals
Pgs

6. Using the Cash Payments Journal
The cash payments journal is used to record all transactions in which cash is paid out or decreased.
Pg 489

7. Cash Payment for Prepaid Insurance
Cash Payment for Purchases
Cash Payment on Account Payable
Pgs

8. Cash Payment for
Transportation In
Cash Paid for Salaries
Cash Payment of
Miscellaneous
Expenses such as
Bank service charges
Pgs

9. Cash Payment of Bank Card Fees
Pg 494

10. Posting Payment to an Accounts
Payable
Posting Transactions
From the General Column
Accounts payable payments and payments to accounts journalized in the general
column are posted individually on a daily basis.
Pgs 495, 497

11. Proving and Ruling the Cash Payments Journal
Pg 498

12. Posting Column Totals of the Cash Payments Journal
Prove and rule the journal
Once debits and credits
equal
General Column Totals
Don’t get posted.
Totals are posted once
A month
Pg 499

13. Schedule of Accounts Payable
Used to make sure that the amount in the controlling account, Accounts Payable, it the same as the account totals in the Subsidiary Ledger.
Pg 500

14. Proving Cash
Proving Cash is the process of verifying that cash recorded in the accounting records (cash ledger) agrees with the amount in the checkbook (check stub).
Pg 501