CO ee 3. Under the debit column ‘The debit amount is writen on the debic column apposite the debt account, 4 Under the crest column ‘The credit amounts writen onthe ere column opposite the erect account 5. Under the foi column ‘The Flio or reference column is used to indicate the page number ofthe ledger ‘where the entry i transferred Thee no entry yet in the folio colama when transactions are recorded inthe general joural, However, when the entries are copie from the journal tothe leer the account numberof the ledger accounts in which the debits and credits are copie are entered inthe foi column, ‘A single-space shouldbe left blank alter each entry ‘A Journal entry i record of business transaction inthe journal, Tere are wo |ypes of journal entry: the simple journal entry which contains only one debit and ‘one credit accounts, and the compound journal entry which contains either one {ebitand two or more credits or two or more debits and one credit: oF two oF more debits and two or more cred. [Ned fora Journal 1. To provide in one place a complete record of all transactions The journal wil link together the debts and credits ofthe transactions 2.The records make it posible to trace the debis and credits ofthe accounts ‘when emars are commited. Bookkeeping Techniques ‘when recording transactions i the journal or ledger, commas and periods are no longer written because the ruled ines inthe forms acampised this purpo, However when reposts ae prepared in unuled paper, commas and periods are necessary Dash instead of ers may be used in writing, centavos because itis cater to write than two zeros. This, however, optional onthe pat of the ‘bookkeeper When preparing ports, however, two zeros are prefered because they are neater in appearance. ‘6. POSTING, LEDGER, GENERAL LEDGER, T-ACCOUNTS Posting is the process of transferring the record from the joural tothe ledger, A ledger constutes group of accounts, tis alo called the book of inal entry. The ‘simple form ofa ledger isthe "T-account which was taken up in Chapter 3, ‘Theillustration shown above is the most commonly used form ofa ledger. The tora vertical line inthe midele divide the left side or the debit sie and the ight ‘se othe ere side ofthe form. Each sie has columns for date, explanation crose-relerence numero fobo, and amounts,2.The records make it possible to trace the debis and credis ofthe accounts ‘when ettars are commited Bookkeeping Techniques ‘When recording transactions in the joumal or leiger, commas and periods are no longer writen becaute the ruled ines inthe forms accomplished this purpoe, However, when rept ae prepared in unre paper, commas and periods are necessary Dash instead of eros may be used in writing centavos because itis easier to write than two zeros, This, however, s optional onthe part ofthe bookkeeper When preparing reports, however, two zeros are prefered because they are neater in appearance. ‘6. POSTING, LEDGER, GENERAL LEDGER T-ACCOUNTS Posting is the process of transferring the record from thejoural tothe ledger. A ledger consitutes group of accounts, es also called the book of inal entry. The ‘simple form of alder isthe "T-account which was taken up in Chapter 3, ‘The ilustration shown above is the most commonly used form ofa ledger, The tbo vertical lines inthe midle divide the left side or the debit sie and te ight side or the cre side ofthe frm, Each side as columns for date, explanation, crose-relerence umber o foo, and amounts Need for a Ledger 1 Items of similar nature are grouped togeter 2. Its ease to locate the item i an information about it is needed Procedures in Posting 1. Locate the coresponding account te inthe ledger. 2. Transfer tothe ledger the following information from the journal: a. Dawe Explanation © Amount Debit accounts fm the joural are posted on the debit side ofthe edger and ‘red account are posted onthe credit sie ofthe ledger. 3. Place the page number ofthe joural in which the information was taken tothe folio column of the leer. 4 Place in the fi column ofthe joural the page number ofthe leer in which the information was posted. Inserting the account number in the journal lio colume serves two purposes a Itserves as a croe-eference when itis desired to race the amount from one tecord to another, '. Wiring the account number inte journal indicates that posting is completed Footing or Adding the Accounts Before preparing the tral balance the accounts shouldbe footed or added fst. ‘The following procedure is flowed: 1. Foot ora the debit side ofthe account using pencil 2. Faot or ad the eve ide of he account ting pene