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The petty cash payments record is a special journal that takes the place of entering these transactions in the two-column journal.

a) True
b) False

1 Answer

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Final answer:

The petty cash payments record is not a special journal that replaces entering these transactions in the two-column journal.

Step-by-step explanation:

The statement is false. The petty cash payments record is not a special journal that replaces entering these transactions in the two-column journal. A petty cash book or petty cash ledger is used to record small cash payments made by a business. It is a separate book from the general journal and is used to track miscellaneous expenses that are not recorded in the main accounting records.

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