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Cash receipts journal as a book of original entry

Answer Text:
Cash receipts journal as a book of original entry:
- Is used to record daily cash receipts of cash and cheques.
- These records are then summarized and totals posted to the cash and banks columns in the cash book at the end of the period.
- Totals of discount allowed column is posted to debit side of discount allowed account in the general ledger.
- Source document used is a copy of cash slips and counter foils of cheques received.