CHAPTER 9:BOOKS OF ORIGINAL ENTRY - JOURNAL, ASSIGNMENTS # 5 - 8 ANSWERS TO ASSIGNMENTS # 1 - 4
LEARNING OBJECTIVES: AFTER GOING THROUGH THIS LESSON, YOU SHALL BE ABLE TO UNDERSTAND: MEANING OF JOURNAL FORMAT OF THE JOURNAL TERMINOLOGY FOR JOURNAL FEATURES OF JOURNAL STEPS IN JOURNALISING RECORDING OF TRANSACTIONS IN JOURNAL ADVANTAGES OF JOURNAL LIMITATIONS OF JOURNAL Meaning of Journal Journal is derived from the French word Jour, which means daily records. All the business transactions are first recorded in the Journal, therefore, it is also known as the “Book of Original Entry or Book of Prime Entry”. In this book, we record the business transactions in a chronological order that means in the order (or date) of their occurrence. In the Journal, business transactions are recorded in the form of an entry (having effects on two sides). This entry is popularly referred to as Journal Entry. FORMAT OF THE JOURNAL LINK Date− Date of transaction (in order of occurrence) Particulars− Details of business transactions like, name of the parti...