Four accounting journals are often referred to as "special journals." They are used to record the same type of transaction, one that happens frequently. It is an accounting timesaving method because, at the end of an accounting period, the totals of each ledger can be posted to the company’s general ledger instead of multiple postings throughout the period.
The sales journal records only those sales made on account. A debit is made to accounts receivable and a credit is made to sales. The sales column is sometimes broken into two columns: one for the actual sale with another column for sales tax. The journal might include additional information such as the date, customer and invoice number.
The cash receipts journal records all cash transactions that increase cash, such as cash sales. When cash is received for payment on account, a credit is posted to accounts receivable while the debit is posted to cash. If the cash received is for a sale, the credit is posted to sales. Typical column headings include date, customer name, a reference number and the amount.
