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Posting to a General Ledger
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Using Accounts and Preparing and Maintaining a Chart of Accounts
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Journal does not show all the changes to a single account
Form used to summarize in one place-one form used for
each account
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Balance-ruled account form
Ledger-A group of accounts
General Ledger-A ledger that contains all accounts needed
to prepare financial statements
Account Number-The number assigned to an account
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Chart of Accounts-A list of account titles and numbers
showing the location of each account in a ledger
Example: 150 Supplies
o 1 General ledger division
o 50 Location with general ledger division
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File Maintenance-The procedure for arranging accounts in a
general ledger, assigning account numbers, and keeping
records current
Adding a New Account
o If between should end in 5
o If at end should be 10
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Opening an Account-Writing an account title and number on
the heading of an account
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Posting from a General Journal to a General Ledger and Proving Cash
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Posting-transferring information from a journal entry to a
ledger account
Each debit and credit is posted
Numbers in Post Reference:
o An entry in an account can be traced to its source in journal
o An entry in a journal can be traced to where it was posted in an
account
o If posting interrupted-acts as a place holder
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Date
Page #- G is an abbreviation for the general journal
Debit or Credit
New Account Balance
o If no previous balance first entry is balance
o If previous balance:
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Debits + Debits
Credits + Credits
Debits-Credits
Credits-Debits
o Journal Post Ref-Account #
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Proving Cash-Determining that the amount of cash agrees
with the balance of the cash account in the accounting
records
Always prove cash at end of month
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Journalizing Correcting Entries and Correcting Posting Errors
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If an entry is corrected before posting-write a line through
the entry
If an entry has been posted-correcting entry