Sales ledger

Sales ledger
See also

Sales ledger, in other words – account receivable, is one amongst a few helpful business monitoring instruments, right next to cashbook, purchase ledger and wages book [1]. All sales enter to sales ledger whether or not the client has actually paid. I helps you bring to mind about trade debtors who have taken items on credit and still get into arrears and it also helps you to find each transaction which you want to check. Recurrently, for instance, on a weekly basis sum the entire volume of money owed to the business. Then remind the customers who have exceeded the limit of time for their payment of owed money. All clients who owe the sum of money ought to remain on the sales ledger up to their borrowing have been settled. The sales ledger supports keep track of loyal and fast-paying customers. Nevertheless, it is also a good idea to hold copies of invoices and receipts [2].

Sales ledger processing

The first phase in creating a sales ledger system is to set up client's records. First of all, these records should contain customer reference, name, surname, address, contact name, discount rates allowed, etc. Then, the dealings can be implemented each day, and details of these will generally be held during the course of the database as an independent set of ledger records, indexed by client's reference so as to the set of dealings for a definited customer can be retrieved without any trouble [3].

Similarities between Sales Ledger and Purchase Ledger

There are a few similarities between these two types of ledgers:

  • Sales ledger as well as purchase ledger are found as a matter of a company's interior data bank, generally used by the bookkeeping division
  • Information included into these two types of ledgers support to reconcile the lenders and borrowers state with the balance of individual monitoring account
  • Specific information implicited in sales ledger and also in purchase ledger are figured up at the end of a concrete term, for instance once a month, and results in individual supervision inspect accounts through general ledger.

Difference between Sales Ledger and Purchase Ledger

There are also a few difference between these two types of ledgers:

  • The first one is also known as the sales sub-ledger, second is known as a purchases sub-ledger
  • Generally, in sales ledger is a debit balance. In purchase ledger there normally is a credit balance
  • Documents of sales ledger consist of sales invoices and memos/debit notes. Documents of purchase ledger consist of supplier invoices and memos/credit notes
  • When sales ledger records credit sales transactions, purchase ledger records credit purchase transactions
  • While sales ledger is used to record and monitor debtors, purchases ledger is used to record and monitor creditors.


  1. Food and Agriculture of the United Nations and AfricaSeeds (2018) Seeds Toolkit – Module 1, Rome, s. 82
  2. Food and Agriculture of the United Nations and AfricaSeeds (2018) Seeds Toolkit – Module 1, Rome, s. 83
  3. Stang N, Blewett F (2014) Students’ Guide to Business Computing, Heinemann Newnes, s. 153


Author: Paulina Matysiewicz