Journal

Journal is the book of original entry in which business transactions are recorded in chronological order which means in the order of occurrence. Transactions are recorded for the first time in journal and entries are made based on source documents.

  Journal contains five columns; Date, Particulars, L.F. Debit and Credit.

 Narration: A short description of each transaction is written under each entry which is called narration.

 The process of analysing the business transactions under the heads of debit and credit and recording them in the journal is called journalising.

 In this Unit, detailed discussion was also made on steps in accounting, steps in journalising, types of journal entry and advantages of journal.  Moreover detailed analysis for various transactions was made by following double entry system and two of the problems have been solved with proper analysis.