Back to Course


0% Complete
0/0 Steps

Lesson Progress
0% Complete

A special journal is a book of first or original entry that is used for recording business transactions exclusively carried out on credit.

Types of Special Journal:

There are four special journals as listed below:

1. Sales Journal (Sales Day Book)

The sales journal records all credit sales made to customers. Entries in the sales journal include the date, invoice number, customer name and amount. Sales invoices are the source documents that provide this information.

2. Purchases Journal:

The purchases journal lists all credit purchases of a business transaction. Entries in this journal usually include the date of the entry, the name of the supplier and the amount of the transaction. The source document is a purchase invoice.

3. Returns Inwards Journal:

Return inward journal records all goods returned by customers to an organization. They are goods which were sold, but usually because of being unsatisfactory, were returned back by the customers. They are also called sales returns.

When goods are returned, a credit note is sent for the value of goods returned. Therefore, a credit note serves as a source document used to prepare returns inwards journal.

4. Returns Outwards Journal:

It is used to record all goods bought which are returned to the seller for one reason or the other e.g. defective goods, items which are not of the right shape etc. When goods are returned to suppliers they are sent along with a debit note indicating the value of goods returned. A debit note is a source document for preparing returns outward journal.


Your email address will not be published. Required fields are marked *

error: Alert: Content selection is disabled!!