Difference between revisions of "Book of original entry"
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| − | A [[book of original entry]] (alternatively known as [[accounting journal]]; hereinafter, the ''Journal'') is any chronological log of [[financial transaction]]s. The data recorded in the ''Journals'' or ''Journals'' is further summarized and posted into a [[general ledger]] or other [[book of final entry]], from which [[financial statement]]s are produced. | + | A [[book of original entry]] (alternatively known as [[accounting journal]]; plural is known as [[books of original entry]] or, simply, [[journals]]; hereinafter, the ''Journal'') is any chronological log of [[financial transaction]]s. The data recorded in the ''Journals'' or ''Journals'' is further summarized and posted into a [[general ledger]] or other [[book of final entry]], from which [[financial statement]]s are produced. |
Revision as of 02:08, 18 December 2018
A book of original entry (alternatively known as accounting journal; plural is known as books of original entry or, simply, journals; hereinafter, the Journal) is any chronological log of financial transactions. The data recorded in the Journals or Journals is further summarized and posted into a general ledger or other book of final entry, from which financial statements are produced.
Contents
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Book of original entry. Book that records the first formal information about business transactions. A general journal is an example of a book of original entry.
General journal
- Main wikipage: General journal
A general journal is a default Journal that every organization keeps.
Cash book and other journals
In addition to a general journal, organizations may choose to keep one or more of other Journals. Each additional Journal contains detailed records for the types of financial transactions pertaining to a specific area such as a cash book, sales journal, purchase journal, payroll journal, etc.
Related concepts
- Bookkeeping. Recording, filing, and retrieving of financial data, as well as producing those financial reports that are required by laws.
