Cash receipt journal
Cash receipt journal is a specialized journal in which all cash receipts are recorded for example cash received from debtor will be recorded in cash receipt journal.
Simple double entry for cash receipt
Credit-->Debtor or account receivable or any other account
Date Column: is used to record the date of cash receipt related transaction or when business receives cash
Account Credited Column: is used to record the source from where business has received cash payment or the credit side of double entry. For example a business has received cash from a debtor, Cash=Debit and Debtor=Credit therefore Debtor will be recorded in Account credited column
Folio Column: records reference to cash ledger account
Cash Column: is used to record the amount of cash received.
Discount Column: if any cash discount allowed, it will be recorded in it
Sales Column: In the case of cash sales the amount of sales will be recorded in it
Debtor Column: If cash was received from a debtor, the amount of cash that was received from debtor is recorded under this column
Sundry Accounts Column: is filled in for those accounts which don’t have special column in cash receipt journal. For example, interest and commission received, cash received from the sale of a fixed asset like building, furniture, vehicle etc.
Following are the transactions of Jackfield Ltd for the month of march 2011.
|March 1.||The owner of Jackfield Ltd introduced fresh capital $10,000 to the business|
|March 15.||Received cash from cash sales $500|
|March 18.||Cash $500 received from a debtor Mr. Z and discount allowed was $100|
|March 22.||Sold old equipments for $200|
|March 30.||Received cash $300 as commission for sales service|