the general ledger 4 post to the ledger the 4 th step of the accounting cycle is to post to the...
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The General Ledger
4Post to the
ledger
The 4th step of the accounting cycle is to post to the ledger.
4Post to the
ledger
The General Ledger is a book containing a separate page for each business account. The General Ledger serves as a permanent record of financial transactions for the business.
Posting to the ledger is the process of transferring information from the General Journal to the individual General Ledger accounts.
This is pretty easy. All I really have to do is copy the information that I already have in my general
journal.
The Ledger Account FormLet’s take a look at a sample General
Ledger.
ACCOUNT NO. __________
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
ACCOUNT ______________________________________
To open a account with a zero balance1) Write the name of the account on the top of the ledger form.
Cash in Bank
2) Write the account number on the ledger form.
101
To open a account
with a balance3) Enter the date in the date column.
2006OCT 1
4) Write the word “Balance” in the description column.
Balance
5) Place a check mark in the post reference column to show that the amount is not being posted from the General Journal.
6) Enter the balance in the appropriate column .
25,000
Posting to the General LedgerTransaction 1 Page: 1
POST REF DEBI T CREDI T
1 2006
2 OCT 1 Cash in Bank 25,000
3 M. Sanchez, Capital 25,000
4 Memo 1
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 1 ACCOUNT Maria Sanchez, Capital ACCOUNT NO. 301
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
G1 25,000 25,000
2006OCT 1
25,000 25,000
101301
G1
Posting – Transaction 2Page: 1
POST REF DEBI T CREDI T
5 2 Offi ce Equipment 400
6 M. Sanchez, Capital 400
7 Memo 2
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Offi ce Equipment ACCOUNT NO. 120
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 2 ACCOUNT Maria Sanchez, Capital ACCOUNT NO. 301
POST
REF DEBI T CREDI T DEBI T CREDI T
OCT 1 G1 25,000 25,000
DATE DESCRI PTI ON
BALANCE
G1 400 400
120301
2 G1 400
25,400
Posting – Transaction 3Page: 1
POST REF DEBI T CREDI T
8 4 Computer Equipment 3,000
9 Cash in Bank 3,000
10 Check 101
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Computer Equipment ACCOUNT NO. 115
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 4 ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
OCT 1 G1 25,000 25,000
DATE DESCRI PTI ON
BALANCE
G1 3,000 3,000
115101
2 G1 3,00022,000
Posting – Transaction 4Page: 1
POST REF DEBI T CREDI T
11 9 Delivery Equipment 12,000
12 Accts Payable - North Shore Auto 12,000
13 Invoice 200
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Delivery Equipment ACCOUNT NO. 125
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 9 ACCOUNT Accounts Payable - North Shore Auto ACCOUNT NO. 205
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
G1 12,000 12,000
125205
2006OCT 9 G1 12,00
012,000
Posting – Transaction 5Page: 1
POST REF DEBI T CREDI T
14 11 Accounts Receivable - Green Company 200
15 Offi ce Equipment 200
16 Memo 3
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Accounts Receivable ACCOUNT NO. 110
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 11 ACCOUNT Offi ce Equipment ACCOUNT NO. 120
POST
REF DEBI T CREDI T DEBI T CREDI T
OCT 2 G1 400 400
DATE DESCRI PTI ON
BALANCE
G1 200 200
110120
11
G1 200 200
Posting – Transaction 6Page: 1
POST REF DEBI T CREDI T
17 12 Accounts Payable - North Shore Auto 350
18 Cash in Bank 350
19 Check 102
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Accounts Payable - North Shore Auto ACCOUNT NO. 205
POST
REF DEBI T CREDI T DEBI T CREDI T
OCT 1 G1 12,000 12,000
DATE DESCRI PTI ON
BALANCE
12
ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
4 G1 3,000 22,000
DATE DESCRI PTI ON
BALANCE
G1 350 11,650
205
101
12
G1 350 21,650
Posting – Transaction 7Page: 1
POST REF DEBI T CREDI T
20 14 Cash in Bank 200
21 Accounts Receivable - Green Co 200
22 Receipt 1
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
12 G1 350 21,650
DATE DESCRI PTI ON
BALANCE
14
ACCOUNT Accounts Receivable - Green Company ACCOUNT NO. 110
POST
REF DEBI T CREDI T DEBI T CREDI T
11 G1 200 200
DATE DESCRI PTI ON
BALANCE
G1 200 21,850
101
110
14
G1 200 ------
Posting – Transaction 8Page: 1
POST REF DEBI T CREDI T
23 15 Cash in Bank 1,200
24 Delivery Revenue 1,200
25 Receipt 2
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
14 G1 200 21,850
DATE DESCRI PTI ON
BALANCE
15
ACCOUNT Delivery Revenue ACCOUNT NO. 401
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
G1 1,200 23,050
101
401
2001OCT 15 G1 1,200 1,200
Posting – Transaction 9Page: 1
POST REF DEBI T CREDI T
26 16 Rent Expense 700
27 Cash in Bank 700
28 Check 103
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Rent Expense ACCOUNT NO. 510
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 15 ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
15 G1 1,200 23,050
DATE DESCRI PTI ON
BALANCE
G1 700 700
510101
16
G1 700 22,350
Posting – Transaction 10Page: 2
POST REF DEBI T CREDI T
1 18 Advertising Expense 75
2 Accts Pay - Beacon Advertising 75
3 Invoice 129
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Advertising Expense ACCOUNT NO. 501
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 18
ACCOUNT Accounts Payable - Beacon Advertising ACCOUNT NO. 201
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
G2 75 75
501201
2006OCT 16
G2 75 75
Posting – Transaction 11Page: 2
POST REF DEBI T CREDI T
4 20 Accounts Receivable - City News 1,450
5 Delivery Revenue 1,450
6 Sales Invoice 1
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Accounts Receivable - City News ACCOUNT NO. 105
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 20 ACCOUNT Delivery Revenue ACCOUNT NO. 401
POST
REF DEBI T CREDI T DEBI T CREDI T
OCT 15 G1 1,200 1,200
DATE DESCRI PTI ON
BALANCE
G2 1,450 1,450
105401
20 G2 1,450 2,650
Posting – Transaction 12Page: 2
POST REF DEBI T CREDI T
7 28 Utilities Expense 125
8 Cash in Bank 125
9 Check 104
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Utilities Expense ACCOUNT NO. 515
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 28 ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
16 G1 700 22,350
DATE DESCRI PTI ON
BALANCE
G2 125 125
515101
28 G2 125 22,225
Posting – Transaction 13Page: 2
POST REF DEBI T CREDI T
10 29 Maintenance Expense 600
11 Cash in Bank 600
12 Check 105
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Maintenance Expense ACCOUNT NO. 505
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 29 ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
28 G2 125 22,225
DATE DESCRI PTI ON
BALANCE
G2 600 600
505
101
29 G2 600 21,625
Posting – Transaction 14Page: 2
POST REF DEBI T CREDI T
13 31 M. Sanchez, Withdrawals 500
14 Cash in Bank 500
15 Check 106
DESCRI PTI ON
GENERAL J OURNAL
DATE
ACCOUNT Maria Sanchez, Withdrawals ACCOUNT NO. 302
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
2006OCT 31 ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
29 G2 600 21,625
DATE DESCRI PTI ON
BALANCE
G2 500 500
302
101
31 G2 500 21,125
General Ledger Summary 1ACCOUNT Cash in Bank ACCOUNT NO. 101
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 1 G1 25,000 25,000
4 G1 3,000 22,000
12 G1 350 21,650
14 G1 200 21,850
15 G1 1,200 23,050
16 G1 700 22,350
28 G2 125 22,225
29 G2 600 21,625
31 G2 500 21,125
DATE DESCRI PTI ON
BALANCE
ACCOUNT Accounts Receivable - City News ACCOUNT NO. 105
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 20 G2 1,450 1,450
DATE DESCRI PTI ON
BALANCE
General Ledger Summary 2ACCOUNT Accounts Receivable - Green Comapany ACCOUNT NO. 110
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 11 G1 200 200
14 G1 200 -
DATE DESCRI PTI ON
BALANCE
ACCOUNT Computer Equipment ACCOUNT NO. 115
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 4 G1 3,000 3,000
DATE DESCRI PTI ON
BALANCE
ACCOUNT Offi ce Equipment ACCOUNT NO. 120
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 2 G1 400 400
4 G1 200 200
DATE DESCRI PTI ON
BALANCE
General Ledger Summary 3ACCOUNT Delevery Equipment ACCOUNT NO. 125
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 9 G1 12,000 12,000
DATE DESCRI PTI ON
BALANCE
ACCOUNT Accounts Payable - Beacon Advertising ACCOUNT NO. 201
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 18 G2 75 75
DATE DESCRI PTI ON
BALANCE
ACCOUNT Accounts Payable - North Shore Auto ACCOUNT NO. 205
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 9 G1 12,000 12,000
12 G1 350 11,650
DATE DESCRI PTI ON
BALANCE
General Ledger Summary 4ACCOUNT Maria Sanchez, Capital ACCOUNT NO. 301
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 1 G1 25,000 25,000
2 G1 400 25,400
DATE DESCRI PTI ON
BALANCE
ACCOUNT Maria Sanchez, Withdrawals ACCOUNT NO. 302
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 31 G2 500 500
DATE DESCRI PTI ON
BALANCE
ACCOUNT Income Summary ACCOUNT NO. 303
POST
REF DEBI T CREDI T DEBI T CREDI TDATE DESCRI PTI ON
BALANCE
General Ledger Summary 5ACCOUNT Delivery Revenue ACCOUNT NO. 401
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 15 G1 1,200 1,200
20 G2 1,450 2,650
DATE DESCRI PTI ON
BALANCE
ACCOUNT Advertising Expense ACCOUNT NO. 501
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 18 G2 75 75
DATE DESCRI PTI ON
BALANCE
ACCOUNT Maintenance Expense ACCOUNT NO. 505
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 29 G2 600 600
DATE DESCRI PTI ON
BALANCE
General Ledger Summary 6ACCOUNT Rent Expense ACCOUNT NO. 510
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 16 G1 700 700
DATE DESCRI PTI ON
BALANCE
ACCOUNT Utilities Expense ACCOUNT NO. 515
POST
REF DEBI T CREDI T DEBI T CREDI T
2006
OCT 28 G2 125 125
DATE DESCRI PTI ON
BALANCE
This takes a long time, but it’s pretty
easy.
Roadrunner Delivery Service
Trial BalanceOctober 31, 2006
101 Cash in Bank 21,125105 Accounts Receivable - City News 1,450110 Accounts Receivable - Green Company ------115 Computer Equipment 3,000120 Offi ce Equipment 200125 Delivery Equipment 12,000201 Accounts Payable - Beacon Advertising 75205 Accounts Payable - North Shore Auto 11,650301 Maria Sanchez, Capital 25,400302 Maria Sanchez, Withdrawals 500303 I ncome Summary ------ ------401 Delivery Revenue 2,650501 Advertising Expense 75505 Maintenance Expense 600510 Rent Expense 700515 Utilities Expense 125
Totals 39,775 39,775
Roadrunner Delivery Service
Trial BalanceOctober 31, 2006