30 transactions with journal it's ledger and trial balance
Answers
Answer:
The mentioned project can be completed based on the following pointers:
Gather a list of transactions for a particular business.
Record all the financial transactions in their chronological order in the Original Books of Account, i.e., Journal, using the following format:
Journal
Date
Particulars
L.F.
Debit
₹
Credit
₹
(1)
(2)
(3)
(4)
(5)
3.Once all the financial transactions are recorded in the books of original entry, they are transferred to Individual Ledger Accounts, using the following format:
Dr. Name of the Account Cr.
Date
Particulars
J.F.
Amount
Date
Particulars
J.F.
Amount
Date of Transaction
Name of the other Account
Amount of Transaction
Date of Transaction
Name of the other Account
Amount of Transaction
4. After posting transactions to the respective ledger accounts, a Trial Balance is prepared to check the arithmetical accuracy of the transactions recorded in the journal and posted to the ledgers which are then balanced to get the respective debit and credit balances. It is prepared as follows:
Trial Balance as on …
Particulars (Name of the Accounts)
L.F.
Dr. (Rs.)
Cr. (Rs.)
5. Once the Trial Balance is prepared, a set of financial statements is prepared as the end product at the end of the accounting period to determine the financial performance and financial position of the business. A complete set of financial statements is known as Final Accounts which includes the following:
An Income Statement known as Trading and Profit and Loss Account: Such a statement has two parts where one is the Trading Account that shows the Gross Profit or Gross Loss for the accounting period and the other is the Statement of Profit and Loss that shows the Net Profit or Net Loss for the accounting period.
Dr.
Trading Account for the year ended ………..
Cr.
Particulars
Amount
Rs.
Particulars
Amount
Rs.
Dr.
Profit and Loss Account for the year ended ………..
Cr.
Particulars
Amount
Rs.
Particulars
Amount
Rs.
A Position Statement known as Balance Sheet: It is a statement that shows financial position of the entity on a particular date in form of assets held and liabilities owed.
Balance Sheet as at ……..
Liabilities
Amount
Rs.
Assets
Amount
Rs.