What Is Ledger In Accounting
In a deal with accounting, ledger preparation is the second most important step after passing journal entries, in which various transactions are recorded in separate account heads, such as sales, purchase, investment, inventory, etc. Ledger, in its truest sense, is a source of all other financial statements. Use Journal Entries to Record Transactions and Post to T (a few examples of the related account titles are shown in parentheses.) assets (cash, accounts receivable, land, equipment) What is ledger in accounting . By looking at the ledger, one can understand what transactions are recorded, what happened during a particular period, and how one looks at a company should. More info about excel general ledger templates: The ledger, on the other hand, is known as the principal book of accounting. In other words, a ledger is a record that details all business accounts and account activity during a period. This ledger can be subordinate to a bank's general ledger accountin...