Proper knowledge of Journal Proper

Keeping transaction records is the most important part of a company, and this is the reason that accounting section is essential for a company to maintain the various transactions. In case of keeping records of small size company, general journal is considered as the perfect one. However, subsidiary books are the first choice of many firms, and cash book is important for getting entry too. Moreover, in case if the transaction record is not perfect to have an entry in subsidiary books, then journal proper is used to enter the exact data.

Many times the confusion occurs as for where to adjust the transaction. So, before getting confusion be clear with the various transactions that can get entered in the Journal proper as follows –

  • Adjusting entries
  • Opening entries
  • Closing entries
  • Transferring entries
  • Rectifying Entries
  • Special items need to be entered in journal proper when there is no space in subsidiary books.

Explanation of special items which need to be entered in the Journal Proper

If a company purchases furniture or similar items on credit, then it is impossible to enter those records in the purchases of goods because for a company, goods are vital and different than furniture on credit because it is an asset. So, the journal normal is important in this case, and the transaction gets entered in this. Now, to get more explanation about special items, let us know some following points –

  • Capital’s interest
  • Purchases of assets or sales of assets on credit
  • Good provided to a charity
  • Loss of goods
  • Sample free
  • For personal use of goods taken by the proprietor
  • Dishonor and endorsement  of bill

Now, it becomes clear that how to grab the Journal Proper and what kind of transactions are done here. If a person understands the exact motto of Journal proper, then he will never ever get any hesitation while entering records.


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