Question

Answer in one sentence only :

What is subsidiary book?

Answer 1

Subsidiary Books are the sub divisions of a Journal. These books are meant for recording the transactions of a similar nature in a separate book. When there are many transactions, the Journal is sub-divided into subsidiary books to record such voluminous transactions and events in one single book. These books are also termed as 'Special Purpose Books or Special Journals or Book of Original/Primary/Prime entry'.
For example, All the cash transactions can be recorded in one book, i.e. Cash Book . Thus, Cash Book, Sales Book, Purchases Book etc. are the examples of Subsidiary Books.