To install click the Add extension button. That's it.

The source code for the WIKI 2 extension is being checked by specialists of the Mozilla Foundation, Google, and Apple. You could also do it yourself at any point in time.

4,5
Kelly Slayton
Congratulations on this excellent venture… what a great idea!
Alexander Grigorievskiy
I use WIKI 2 every day and almost forgot how the original Wikipedia looks like.
What we do. Every page goes through several hundred of perfecting techniques; in live mode. Quite the same Wikipedia. Just better.
.
Leo
Newton
Brights
Milds

General ledger

From Wikipedia, the free encyclopedia

In bookkeeping, a general ledger, also known as a nominal ledger, is a bookkeeping ledger in which accounting data is posted from journals and from subledgers, such as accounts payable, accounts receivable, cash management, fixed assets, purchasing and projects. A ledger account is created for each account in the chart of accounts for an organization, are classified into account categories, such as income, expense, assets, liabilities and equity, and the collection of all these accounts is known as the general ledger. The general ledger holds financial and non-financial data for an organization.[1][dead link] Each account in the general ledger consists of one or more pages. An organization's statement of financial position and the income statement are both derived from income and expense account categories in the general ledger.[2][dead link]

YouTube Encyclopedic

  • 1/3
    Views:
    34 647
    51 331
    18 230
  • GENERAL LEDGER: Visual Guide to Posting Journals
  • What is a general ledger
  • General Ledger and Chart of Accounts | Principles of Accounting

Transcription

Terminology

The general ledger contains a page for all accounts in the chart of accounts[3] arranged by account categories. The general ledger is usually divided into at least seven main categories: assets, liabilities, owner's equity, revenue, expenses, gains and losses.[4] The main categories of the general ledger may be further subdivided into subledgers to include additional details of such accounts as cash, accounts receivable, accounts payable, etc.

The extraction of account balances is called a trial balance. The purpose of the trial balance is, at a preliminary stage of the financial statement preparation process, to ensure the equality of the total debits and credits.[5]

Process

Posting is the process of recording amounts as credits (right side), and amounts as debits (left side), in the pages of the general ledger. Additional columns to the right hold a running activity total (similar to a chequebook).[6]

The general ledger should include the date, description and balance or total amount for each account.

Because each bookkeeping entry debits one account and credits another account in an equal amount, the double-entry bookkeeping system helps ensure that the general ledger is always in balance, thus maintaining the accounting equation:

.[7][3]

The accounting equation is the mathematical structure of the balance sheet. Although a general ledger appears to be fairly simple, in large or complex organizations or organizations with various subsidiaries, the general ledger can grow to be quite large and take several hours or days to audit or balance.[8][citation needed]

In a manual or non-computerized system, the general ledger may be a large book. Organizations may instead employ one or more spreadsheets for their ledgers, including the general ledger, or may utilize specialized software to automate ledger entry and handling. When a business uses enterprise resource planning (ERP) software, a financial-features module produces subledgers and the general ledger, with entries drawn from a database that is shared with other processes managed through the ERP.

References

  1. ^ "Accounting Term Concepts" (PDF). Retrieved 12 February 2017.
  2. ^ "National Curriculum Statement Accounting Guide Grade 10" (PDF). Retrieved 26 February 2017.
  3. ^ a b "Chapter 9.3 - General Ledger and Charts of Accounts". Accounting Scholar. Retrieved 28 February 2017.
  4. ^ "Inputs to Accounting".
  5. ^ "What is a Trial Balance?". Retrieved 5 March 2017.
  6. ^ "Posting to general ledger accounts" (PDF). Retrieved 26 February 2017.
  7. ^ Meigs and Meigs. Financial Accounting, Fourth Edition. McGraw-Hill, 1983. pp.19-20.
  8. ^ Whiteley, John. "Mr". Moncton Accountant John Whiteley CPA. Moncton Accountant John Whiteley CPA. Retrieved 3 July 2017.[permanent dead link]
This page was last edited on 28 February 2021, at 06:28
Basis of this page is in Wikipedia. Text is available under the CC BY-SA 3.0 Unported License. Non-text media are available under their specified licenses. Wikipedia® is a registered trademark of the Wikimedia Foundation, Inc. WIKI 2 is an independent company and has no affiliation with Wikimedia Foundation.