Tag Archives: ledger

Let’s break down what an “account” means in business and accounting. Imagine a company has many different things it owns, and different things it owes to others. To keep track of all of these, we use “accounts”. An account is like a special page or folder in a book (called …

Ledger accounts represent the third stage of the accounting cycle, providing a systematic method for categorising and recording financial transactions from journals into specific accounts. This comprehensive guide facilitates the transition from books of prime entry to the General, Sales and Purchases ledgers. Readers will understand the technical T-account format, …

Accounts are shaped like a T that has a left side called Debit or Dr and a right side called Credit or Cr. Debit means to have, increase, go up or come in and Credit means don’t have, decrease, go down or go out. A simple way to look at …