Professional Documents
Culture Documents
Summarizing
Recording
Also called Books of Original Entry:
Classification
General Ledger used to classify different transactions into Accounts E.g. Suppliers Ledger Customers Ledger G/L provides classified information about different types of transactions and helps in preparing Financial Statements
1. Journal (Main book of Original Entry) 2. Purchase Book 3. Sales Book 4. Cash Book 5. Purchase Return Book 6. Sales Return Book 7. Bills Payable Book 8. Bills Receivable Book
All transactions
are summarized 1. Assets 2. Liabilities 3. Earnings 4. Earnings 5. Expenses Not every transaction is actual transaction,E.g. Depreciation
Verification:
Trial Balance is used to check correctness of the Ledger Accounts; it should be tallied