Special Journals and Subsidiary Ledgers Lecture

This Connect project encompasses learning about special journals and subsidiary ledgers. Segregation of duties requires the use of different systems to record transactions.  No longer does a company record everything in the general journal, now there are special journals for different spheres within the company.  Additionally, a company does not record accounts receivable or payable in the general ledger but in subsidiary ledgers where each individual account is kept for billing and payment purposes.

We will be looking at a merchandising company which sells inventory items and uses the perpetual system of inventory.  If it has been a while since you looked at merchandising transactions, here is a review

Transactions for Retail Operations

Now, we will learn about the theory and mechanics of special journals and subsidiary ledgers:


A portion of your test will come from these notes, and they are the background to properly recording transactions in a company using this system.  I prepared these notes to make them easier to understand but if you have any suggestions, please let me know. Here is video on special journals and subsidiary ledgers too.

Special Journals and Subsidiary Ledgers

Next, we will look at some sample transactions:

Sample Transactions for Special Journals and Subsidiary Ledgers

Here is the list of the transactions you will need for your homework.  This will aid you in entering the information so you won’t have to scroll so much.


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