Major benefits or advantages of subsidiary books can be expressed as follows:
1. Division Of Labor
Subsidiary books system practice division of labor. Separate journals and books are used for recording each type of transaction.So, work is divided among different accounting personnel. This system is very suitable for large business companies.
2. Effectiveness
Subsidiary books facilitates promptness in work because of proper division of work. It helps to decrease work load and enhance effectiveness of accounting personnel.
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3. Prevents Errors And Frauds
In subsidiary books system, accounting works are classified and assigned to particular personnel who is familiar with that work. It also practice effective internal check system. It helps to prevent errors and frauds.
Subsidiary books helps to save time because there is no need of journal entries.
