TIP: It is sometimes confusing for a beginning accounting student to differentiate between subsidiary ledgers and special journals. It may help to think about how special journals are used to record similar transactions in a common place (such as all sales on account are recorded in the sales journal); thus, special journals are used in the recording process. All transactions affect accounts. Subsidiary ledgers are used to group similar accounts in a common place (such as an account receivable for each customer is included in the accounts receivable ledger); thus, subsidiary ledgers are used in the posting process.
TIP: The cash payments journal is often called the cash disbursements journal.