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Day book & general ledger

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Day book & general ledger

Differences between day book & general ledger... plz explain to me

March 7th 2015 AN ACCA USER 340 Points

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+2 Votes

Day book is basically 'Books of Prime Entry' or 'Books of Original Entry' use to record the whole transaction in their respective Account Book. Where as Nominal Ledger is the 'Book of Secondary Entry' also known as General Ledger in which we record the summarize transaction. For example, separate cash transaction are recorded in the Cash Book along with Analysis Column and sum of total Receipt and Payments are recorded in the Cash Account of General Ledger.

March 8th 2015 AN ACCA USER 1,640 Points
0 Votes
Purpose of General Ledger is to prevent the Nominal Accounts from the details of transaction recorded in Prime Books. Try to Read the Text Book Thoroughly.
March 8th 2015 AN ACCA USER 1,640 Points
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