Journal

Journal is the primary book of accounting where daily records of business transactions are first recorded in a chronological order, i.e. in the order of the dates. It is also called the book of original or first entry. It is a preliminary record where business transactions are first entered into the accounting system.

 

Sample Format

 Date  Particulars  LF.  Debit  Credit
 Date of  Transaction   Account titles & description with both debit & credit  aspects   No. of ledger  page   Amount   Amount 
         
         
         

 

Recording a transaction in a journal using a journal entry is called Journalizing 

Entry of a business transaction recorded in the journal is called a Journal Entry.

The act of transferring a journal entry from a journal or a subsidiary book into a ledger account is called Posting.

 

Nowadays, for businesses and big corporations the entries carry over several pages, hence the totals are mentioned at the end of each page in front of the debit and credit columns. Totals are carried forward to the next page with the help of c/f and b/f and a grand total is shown at the end.

 

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