What is a journal called that is used to record only one kind of transaction?

A journal that is used to record only one kind of transaction is known as a special journal. Special journals are designed to streamline the recording process for specific types of activities, such as sales, purchases, cash disbursements, or cash receipts. By focusing on particular transaction types, special journals help maintain organization and efficiency in accounting records.

For example, a sales journal would only record sales transactions, making it easier to track those transactions and summarize the information for reporting purposes. This specialization also reduces the amount of time needed to record transactions, as entries can be made in bulk rather than individually.

In contrast, a general journal is utilized for a wider variety of transactions that do not fit into the categories designated by the special journals, such as adjusting entries or corrections. An account refers to a specific record within the ledger where individual transactions and balances are maintained, while the term journal simply refers to any record-keeping system where transactions are first entered chronologically. The advantages of using special journals make them a fundamental component of efficient accounting practices.