# Recording of Transactions - II Notes | SwaVid Recording of Transactions - II, NCERT Class 11 Accountancy: notes with key ideas, formats, common mistakes and 3 quick checks with worked answers. Canonical: https://www.swavid.com/cbse/class-11/accountancy/chapter/recording-of-transactions-ii Source: https://www.swavid.com/cbse/class-11/accountancy/chapter/recording-of-transactions-ii # Recording of Transactions - II ## Definitions, formats and formulas ## Key ideas ## Common mistakes ## Quick checks ## Keep going ## Questions parents ask ## Class 11 Accountancy on SwaVid ### Need for special journals ### Cash book types ### Contra entry ### Purchases and sales books ### Returns books ### Journal proper ### Next chapter ### Related chapter ### Related chapter ### All chapters SwaVid › CBSE › Class 11 › Accountancy › Recording of Transactions - II Notes written by SwaVid from the NCERT textbook. Class 11 Accountancy, Chapter 4. Key ideas, definitions and common mistakes. CBSE does not print marks for a single chapter. Short answer. This chapter explains special journals, also called subsidiary books, used to record transactions of a similar nature in business. Students learn how to maintain cash books, purchases and sales books, and the journal proper instead of entering every transaction in a single general journal. Source: NCERT Financial Accounting I (Reprint 2026-27) , Chapter 4, Recording of Transactions - II When a business grows large, recording every transaction in a single journal becomes time-consuming and clumsy. The journal is therefore subdivided into special purpose books called subsidiary books. The cash book records all receipts and payments of money. It can be prepared as a single column cash book, a double column cash book with cash and bank columns, or a petty cash book operated on the imprest system. Transactions that involve both cash and bank accounts, such as cash deposited into bank or cash withdrawn from bank for office use, are recorded on both sides of a double column cash book. These entries are marked with 'C' in the ledger folio column. The purchases book records only credit purchases of goods dealt in by the firm. The sales book records only credit sales of goods. Cash transactions and purchases or sales of assets are never entered in these books. The purchases return book records goods returned to suppliers, supported by a debit note. The sales return book records goods returned by customers, supported by a credit note. Transactions that do not fit into any special subsidiary book are recorded in the journal proper. These include opening entries, closing entries, rectification entries, transfer entries, and credit purchase or sale of assets. Try each question first. Then tap it to see the answer. Total expenses = ₹ 450 + ₹ 320 + ₹ 280 + ₹ 150 = ₹ 1,200 Reimbursement required to restore the imprest = Total expenses incurred = ₹ 1,200 ₹ 1,200 Trade discount = 10% of ₹ 50,000 = ₹ 5,000 Net invoice value = ₹ 50,000 - ₹ 5,000 = ₹ 45,000 ₹ 45,000 Gross price = 20 × ₹ 600 = ₹ 12,000 Trade discount = 15% of ₹ 12,000 = ₹ 1,800 Price after discount = ₹ 12,000 - ₹ 1,800 = ₹ 10,200 Total invoice amount = ₹ 10,200 + ₹ 500 = ₹ 10,700 ₹ 10,700 Bank Reconciliation Statement . Recording of Transactions - I . Trial Balance and Rectification of Errors . The 9 chapters of Class 11 Accountancy . CBSE does not give marks to one chapter. It prints marks for units or parts, and the chapter list page shows them all. No. They are written by SwaVid from the NCERT textbook. The CBSE curriculum is the reference for what is assessed. Bank Reconciliation Statement. SwaVid is an AI tutor for Indian students in Classes 6 to 12. It finds the earlier ideas a child missed, then teaches today’s chapter. Start free to see how it works. - Ch 4 NCERT book - 80 marks, theory paper - 3 quick checks - Entering purchase of office furniture on credit in the purchases book . The purchases book records only credit purchases of goods meant for resale. Credit purchase of an asset like furniture is recorded in the journal proper. - Recording cash sales or cash purchases in the sales or purchases books . All cash purchases and cash sales must be entered in the cash book, not in the purchases or sales day books. - Treating cash withdrawn from bank for personal use as a contra entry . Personal drawings affect Drawings Account and Bank Account. Record it only on the credit side of the cash book under Drawings, not as a contra entry. - Including trade discount in the final entered invoice value in subsidiary books . Trade discount must be deducted from the gross catalogue price first, and only the net figure is recorded in the purchases or sales book. ## Key Links - [CBSE](https://www.swavid.com/cbse) - [Class 11](https://www.swavid.com/cbse/class-11) - [Accountancy](https://www.swavid.com/cbse/class-11/accountancy/chapters) - [Start free →](https://www.swavid.com/signup) - [All 9 chapters](https://www.swavid.com/cbse/class-11/accountancy/chapters) - [NCERT Financial Accounting I (Reprint 2026-27)](https://ncert.nic.in/textbook.php) - [Open notes](https://www.swavid.com/cbse/class-11/accountancy/chapter/bank-reconciliation-statement) - [Open notes](https://www.swavid.com/cbse/class-11/accountancy/chapter/recording-of-transactions-i) - [Open notes](https://www.swavid.com/cbse/class-11/accountancy/chapter/trial-balance-and-rectification-of-errors) - [Class 11 Accountancy](https://www.swavid.com/cbse/class-11/accountancy/chapters) - [Start free →](https://www.swavid.com/signup)