Question

What do you mean by subsidiary books? What are its advantages?

Answer 1

Answer:

Subsidiary Books are those books of original entry in which transactions of similar nature are recorded at one place and in chronological order. In a big concern, recording of all transactions in one Journal and posting them into various ledger accounts will be very difficult and involve a lot of clerical work.

Advantages:

1 : It enables the division of work among accounting personnel by assigning with separate books and it increases efficiency of personnel as they perform same activities daily.

2: It helps to save time and labor by recording similar type of transactions in a separate book

Answer 2

Explanation:

Subsidiary Books are those books of original entry in which transactions of similar nature are recorded at one place and in chronological order. In a big concern, recording of all transactions in one Journal and posting them into various ledger accounts will be very difficult and involve a lot of clerical work.