-Particular; where you register the products.
-Bank; This is where you record payments made by check and receipt of checks.
-Cash; This is the column where you should record cash received and cash paid. Website design By BotEap.comflow side; This is used to record any cash received after which it is posted to the cash column in the cash book. For example, if you made cash sales of $80,000 worth of goods, this would be recorded on the debit side of the cash book. The debit side is also used to record checks received by the business, ie if a customer pays for goods with a check worth $120,000, this is recorded on the debit side in the bank column. Website design By BotEap.comcredit side; The credit side is used to record cash and checks paid by the business. For example, if your fuel costs around $100 and is used in one day, then it will be credited or written to the credit side of the cash book. However, if the supplies are paid for with a check for $200,000, then it will be recorded in the Bank column on the credit side of the cash book. So what is the importance of a cash book in accounting anyway? You can ask. Good… Website design By BotEap.com1. It helps the business to capture all payments and receipts for a particular month or duration.
2. Used to reconcile bank statements.
3. It can be used as a reference in accounting during the audit, therefore, it provides evidence that is very helpful in directing auditors as they review their accounting books.