I have been struggling with this question for some time, What is the difference between a general journal and a general ledger?

Is the ledger comprised of the chart of accounts and their corresponding balances? Which if I am correct would run for ever... provided they are part of the four permanent accounts (IE: assets, liabilities, equity, retained earnings) and if not, a definition would be appreciated.

I do understand that the general journal is where a user will enter adjustments, direct transactions that effect an account (IE: reduction of an assset, etc.) and from what I have been told also keeps the summary entries for payroll (totals for the pay period) sales, etc.

If I am way off the mark please feel free to correct me.

I am trying to grasp this in terms of how software treats the transactions and how the various physical files are updated, closed, etc.

Very good question.
You are absolutely right gppays regarding general ledger and journal ledger. I guess you must be learning ERP software.

Although it's a total pain right now...

Sorry about the late response, unfortunately I have been hospitalized for a while and am just getting back on my feet

Quote:

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Originally Posted by gppays

although its a total pain right now....

Sorry about the late response, unfortunately I have been hospitalized for a while and am just getting back on my feet

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Welcome back, Question, can you help please.

The ledger of Salizar Company at the end of the current year shows Accounts Receivable $110,000, Sales $840,000, and Sales Returns and Allowances $40,000.

Instructions
(a) If Allowance for Doubtful Accounts has a credit balance of $2,500 in the trial balance,
Journalize the adjusting entry at December 31, assuming bad debts are expected to be (1)1% of net sales, and (2) 10% of accounts receivable.

1)
1% of net sales
0.01 x (840,000-40,000) = 8,000
8,000 - 2,500 (already recorded) = 5,500

Dec 31
Dr. Bad Debt Expense 5,500
Cr. AFDA 5,500

2)
10% of AR
0.10 x 110,000 = 11,000
11,000 - 2,500 (already recorded) = 8,500

Dec 31
Dr. Bad Debt Expense 8,500
Cr. AFDA 8,500

Planning, keeping, analyzing, and interpreting financial records.

What is planning keeping analyzing and interpreting financial records.

Accounting clerks
Accounting records
Bookkeeping
Accounting gaap

Anything owned by the company

Equity
Liability
Asset
Capital
Income

Any thing owned by the company

Equity
Liability
Asset
Capital
Income

Jssma? Sorry to hear that, I hope u feel better soon. The answer to the 1st question

Planning keeping analyzing and interpreting financial records

-accounting clerks
-accounting records
-bookkeepers
-GAAP

The General Ledger contains the all of the accounts that make up the Income Statement and Balance Sheet. The transactions that affect the balances of these accounts come from the General Journal. So the Ledger holds the financial data on a per account basis, with the General Journal listing those entries that affect the Ledger on a per transaction basis.

Example: In looking at a cash receipt for an invoice the Journal would show the transaction entry:

Dr Cash
Cr Accounts Receivable

Then in looking at the Cash account in the Ledger would see the debit for the cash received.

General journal:-
The general journal is where double entry bookkeeping entries are recorded by debiting one or more accounts and crediting another one or more accounts with the same total amount. The total amount debited and the total amount credited should always be equal, thereby ensuring the accounting equation is maintained.

Depending on the business's accounting information system, specialized journals may be used in conjunction with the general journal for record-keeping. In such case, use of the general journal may be limited to non-routine and adjusting entries.

format:-
1:-A general journal entry includes:
2:-The date of the transaction;
3:-The title of account credited is indented several spaces
4:-Titles of the accounts debited and credited;
5:-The amount of each debit and credit; and,
6:-An explanation of the transaction also known as a Narration.
from Ram Ratan lohana
karachi pakistan

General Ledger:-
is a collection of the group of accounts that supports the value items shown in the major financial statements. It is built up by posting transactions recorded in the sales daybook, purchases daybook, cash book and general journals daybook. The general ledger can be supported by one or more subsidiary ledgers that provide details for accounts in the general ledger. For instance, an accounts receivable subsidiary ledger would contain a separate account for each credit customer, tracking that customer's balance separately. This subsidiary ledger would then be totalled and compared with its controlling account (in this case, Accounts Receivable) to ensure accuracy as part of the process of preparing a trial balance.

IN general ledger It will usually include accounts for such items as current assets, fixed assets, liabilities, revenue and expense items, gains and losses. Each General Ledger is divided into debits and credits sections. The left hand side lists debit transactions and the right hand side lists credit transactions. This gives a 'T' shape to each individual general ledger account.

if debit or credit balance is not equal then we take difference of both accounts. And where there is amount is less then other amount we will show that amount through c/f balance.

The difference between general journal or general ledger (in general journal the difference between debit or in credit is always equal )
General ledger:-
The amount difference between debit or credit is some time equal or some time the amount difference in debit or credit is not equal in case the balance is not equal we take difference of both amount in debit or in credit. And where there is amount is less then other amount we will show that amount through c/f balance.