HAMRANI DOHA

Q1- What is the definition of journals? Which accounts need to be recorded into journals? Why do
we need journals for recording information?

It’s one of the accounting books that records all the economic transactions for an enterprise and
every unit inside it, journals also called daily books it’s a chronological record of every business
transaction(physical assets, cash holdings and relevant information…) day by day in an organization,
there are two types the general journal and the specific journal the first one should record all types
of operations, in the second one only some business like cash on hand journals, cash in bank
journals…etc.

Q2-What is the definition of ledgers? Which types of ledgers are always applied in the accounting
work? Why do we need general ledgers and subsidiary ledgers independently?

Where a journal can be more specific a ledger is more general, it comes to classify the different
transactions in the journal; there are also 2 types General ledger and subsidiary ledger.

A general ledger provides general accounting information and the subsidiary is set up in accordance
with the specific accounts and classified to record the economic activities with more detailed
information.

The balance of the general ledger is equal to the sum of balances in its subsidiary ledger. The same
accounts entered should be in the general ledger and in the subsidiary and satisfy the following rules:
same evidence, same period, same direction and same amounts.

Formats of subsidiary ledger include three-column: Accounts receivable, Manufacturing cost, Raw
materials, other receivables.