A cash payments journal is a special journal used to record:
A)only the cash payments by currency.
B)the net of the cash payments and cash receipts by currency.
C)cash payments by check and currency.
D)the net of cash payments and cash receipts by check and currency.

Question

Quizplus · Accepted Answer

A cash payments journal is used to record all cash payments, including both payments made by check and payments made with physical currency. Therefore, choice C is the most appropriate option. Choices A and B are incorrect because they only account for a portion of cash payments, neglecting the other form of payment. Choice D is also incorrect because it combines both cash payments and cash receipts, making it difficult to track expenses accurately.

A Cash Payments Journal Is a Special Journal Used to Record