General Ledger College Essays Samples For Students

Source: (MDD, 2013)

Whenever a merchandise sales is made on credit, the sales information is recorded in the sales day book. This is the first document where the records are entered, and they are also known as books of prime entry. In the general ledger, there are accounts for Cash, Accounts Payable, Sales, Purchases and Depreciation. The sales will be recorded in the sales account of the general ledger. The account of the customer who has purchased the goods from the company is going to be debited. At the ends of the period the difference of the debt side and the credit side ...

Chart of Accounts

Wild, Shaw and Chiappetta (2015, p.58) defines the chart of accounts as a list of financial accounts used by the company to identify specific transactions in its journal/ledgers. Warren, Reeve and Fess (2005, p.48) pointed out that the ledger accounts are usually listed in a specific order, which is either from the most significant value or its ease of liquidation. But some companies list their chart of accounts based on their order of appearance in the financial statements (Warren, Reeve and Fess, 2005, p.48). However, in order to facilitate the tracking of business transactions for future references each of ...

Adjusting process is the method of analyzing and correcting the accounts at the end of the period before the preparation of the financial statements while the journal entries that always update the accounts at the end of every accounting period is the adjusting entries (Godwin & Alderman, 2012). Firstly, it is important to make the appropriate journal analysis of each transaction during the adjustment procedure.
Secondly, post every transaction to the respective ledgers. However, at the end of the accounting period, several balances in the ledger account can be reported without any change in the financial statements. For instance, the ...

Accounting plays a vital role in today’s automated world. In order to improve the efficiency, there have been some major changes in the field of accounting during the past few years. McCarthy (1982) suggested a substitute approach in order to represent accounting information. Instead of concentrating on debits and credits, which neglect some essential data about economic events, he proposed to present the detail about every resource in the firm’s control, the events that bring a change in the amount of these particular resources, and the agents who are a part of these events (‘The Resources, Events, and Agents (REA) Approach’). ...

MANAGEMENT ACCOUNTING QUESTIONS

Question 1
The entity charged with the design and development of the activity based costing system is the company’s a person who possess a host of leadership abilities and prior knowledge of ABC technology most probably a person from the company’s accounting department . This individual would be charged with the role of coming up with the most effective costing system that can significantly boost the company’s drive towards the achievement of its objectives. The person selected should however have the maximum to have the support of the top managers, line managers and the entire staff of the company. ...