Alyssandra Nicole Daliuag BSA 2

1. What is the function of the general ledger in recording of transactions?

 A general ledger reflects the record-keeping mechanism for a company's
financial details. Each financial activity that occurs during the life of an operating
company is recorded in the general ledger. For our presentation the general
ledger contained different transactions that have occurred for the month of
January it summarizes all the transactions that have happen such as the purchase
of vehicles, office equipment, tables, it also shows the drawing accounts and
capital accounts, the prepaid insurance and the salaries of the employee are also
showed in the general ledger, the most important thing is that the balance for
each account is already computed and the balance in the general ledger are
compiled and summarized at various levels to produce a trial balance, income
statement, balance sheet, statement of cash flows, and many other financial
reports. This helps accountants, company management, analysts, investors, and
other stakeholders assess the company's performance on an ongoing basis. With
the help of the general ledger all of the transactions are presented well and are
easily understood.

2. What makes a computerized GL system different form manual system?

 The difference between a manual GL system and a computerize GL system is
that the manual system use paper and pen to create ledger and journal where
accountant record financial information. On the other hand computerized system
uses software programs designed from traditional manual accounting systems.
Computerized accounting involves the use of computers, spreadsheets and
programs designed to record and report financial information electronically.
Computerized system is a lot easier than manual system.