Which journals record the results of transaction cycles?

Special journals and subsidiary accounts play a crucial role in recording the results of transaction cycles in accounting. Special journals are designed to record specific types of transactions, such as sales, purchases, cash receipts, and cash disbursements. This specialization allows for greater efficiency and accuracy in the recording process since each journal captures transactions that share common characteristics.

Subsidiary accounts complement the special journals by providing detailed information about specific components of broader account categories. For instance, a subsidiary ledger might track individual customer accounts under the accounts receivable category, allowing for easy reference and management of customer balances.

The combination of special journals and subsidiary accounts facilitates better organization and tracking within the accounting system, making it easier to summarize and report on transaction cycles. This structured approach helps in ensuring that all transactions are accurately recorded and properly categorized, which is essential for financial reporting and analysis.