5.5 the cash payments journal
TRANSCRIPT
5.5
THE CASH PAYMENTS
JOURNAL
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© Michael Allison. Author’s permission required for external use.
5.5 CASH PAYMENTS JOURNAL
Business
Cash Payments Journal
Records all cash outflows of the business:
Expenses paid
Assets bought
Payments made to creditors
Drawings
Loan repayments
GST paid
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Date – the date of each
individual cash payment
Details – the name of the
ledger account effected
(for creditors write the
creditor’s name)
Cheque Number – issued
by the business (run in
sequential order)
Bank – the total amount of
cash paid
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Creditors control - the
total amount deducted
from the creditor’s account
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Stock control - the cost of
stock purchased with cash
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Special columns - these will
vary depending on the nature
of each business
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Sundries - the firm’s
“irregular” cash payments
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
GST - the GST paid on
transactions
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 5 Stock control 903 440 400 40
Jan 6 Wages 904 200 200 0
Jan 9 Advertising 905 88 80 8
Jan 11 Insurance 906 550 500 50
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 13 Wages 908 200 200 0
Jan 16 Stock control 909 440 400 40
Jan 19 Drawings 910 150 150 0
Jan 20 Wages 911 200 200 0
Jan 24 Advertising 912 88 80 8
Jan 27 Wages 913 200 200 0
Jan 28 Drawings 914 100 100 0
Jan 31 Creditor – KSP 915 254 254 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Format of the Cash Payments Journal…
Totals – the total of each column
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
The Bank column must equal the total of al l other columns
Bank =Creditors
Control
Stock
Control
Other
Special
Columns
Sundries+
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
GST+ + +
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
3700 = 394 1300 1310 500+ 196+ + +
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
Cash Payments Journal
Date Details Cheque
Number
Bank Creditors
Control
Stock
Control
Advert-
ising
Wages Drawings Sundries GST
Jan 3 Stock control 901 550 500 50
Jan 4 Drawings 902 100 100 0
Jan 12 Creditor – T. Sports 907 140 140 0
Jan 31 Total payments 3700 394 1300 160 800 350 500 196
5.5 CASH PAYMENTS JOURNAL
© Michael Allison. Author’s permission required for external use.
TASK
In-class Homework
SQ8 X
SQ9 X
SQ10 X