0

Journals

What are Journals?

Financial transactions are analysed to determine the ledger accounts affected. So from this analysis a journal is prepared.

So a journal describes how the transaction is to be recorded in the accounting system.

In a double entry system, a journal has a debit side and a credit side. Because each side is equal, the system remains in balance.

The infographic explains the double entry journal system.

the double entry journal system

Return to Accounting Questions and Answers here.

To learn more, access the right low cost introductory accounting tutorial here

08

Jun'18

What are Journals?

Business Tutor

What are Journals? This is a common question accounting students ask when learning accounting. Journals show how to record a financial transaction in the ledger system. The journal is a ‘double entry’ as it has a debit side and a credit side. To learn how to create a journal follow the debit and …

Read More

09

Jan'18

How do you Post a Journal to the Ledger Accounts?

Business Tutor

Posting a Journal to the Ledger Accounts Posting a journal to ledger accounts is key to the accounting process. The journal specifies the ledger accounts to be adjusted because of a financial transaction. The journal must have equal debit and credit items. Finally the trial balance is the summary of …

Read More