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  Cas h received or collected from customers, de b tors or accou nts receivab le is recorded whe n t he compa ny received cas h from customers for goods sold to them o n account or credit. T his tra nsaction is recorded in Cas h Book a nd Sundry Deb tors or Accounts Receivable Ledger’s Account . T h e effect of Cas h collected from customers o n accounting equation is t h at cash accou nt is added to asset side a nd accounts receivab le is deducted from asset side b y equal amou nt and accounting equation remai ns in b ala nce in quantity. T he jour nal entry to record cas h received or check received from customers is show n b elow:                               Cash a/c / Ba nk a/c  XXX                                                         ...

What is Cash Receipts Journal In Accounting? The Cash Receipts Journal will be used for recording Cash Receipts and Cash Sales Transactions and it is the main purpose of Cash Receipts Journal for which it is prepared. When goods sold or services rendered  to customers or fixed assets are sold in the market or cash received from customers, then the seller receives the cash against selling goods, services or fixed assets,  then we debited Cash Receipts on the Cash Receipts Journal. You May Also Study About, " What is a Cash Payment Journal " Cash Receipts is a Special Journal as it records only cash receipts transactions. The Journal Entry for Cash Receipts is recorded when we received cash from customers against sales on account or when we made cash sales. In cash collections, we debited cash account and credited the Accounts Receivable account and for cash sales, we debit cash account and credit sales account in cash receipts journal. So, c...