A cash receipts journal is a ledger book used to keep track of cash transactions. The journal uses entries for various types of accounts, including cash, sales and accounts receivable.
A cash receipt journal is often used by businesses as part of an accrual accounting system that uses debits and credits. It is sometimes used as a sub-journal to a general ledger that keeps non-cash receipts. The journal has two sides: debits and credits. Each line of the cash receipt journal is used for a separate transaction, and a properly kept ledger balances, with each column's debits equalling the credits.