What type of transactions does the General Journal capture?

The General Journal is designed to capture transactions that do not fit into the predefined categories of specialty journals, such as sales journals, purchase journals, cash receipts journals, and cash payments journals. Specialty journals are used for specific types of transactions, making processing and recording more efficient for high-volume categories. However, there are many transactions that are infrequent or unique that do not align consistently with these categories.

For example, the General Journal might record transactions such as adjustments, corrections, direct write-offs of uncollectible accounts, and other miscellaneous entries that don't occur regularly enough to warrant their own specialty journal. This functionality allows businesses to ensure that all financial activities are accurately reflected in their accounting records, providing a complete picture of their financial position.

In contrast, the other options focus on either specific transaction types or functions that do not encompass the broader purpose of the General Journal, which is to capture all residual transactions outside of standard classifications.