Proforma of Ledger – apk upload

Proforma of Ledger

The page of ledger is divided into two similar parts.

Left side is kept for debit and right side is for credit. Each part of left and right side is divided into four columns which are written gradually here-

(i) Date-The date of transaction is written in the first column.

(ii) Particulars- In second column description of transaction is written means the name is written to which account of transaction is related. If entries are being done in English then with the entries of left side ‘To’ is written with all items and with all entries of credit side “By” word should be written.

(iii) Journal folio- In this column the number of that page is written on which page the concerned dealing/transaction is entered.

(iv) Amount- In fourth column that amount is written of concerned, tran action, which is, printed in front of those accounts in general entries.

Rules of Posting in Ledger

On the basis of journal entries the important rules of ledger posting are as follows-

(1) At the time of journal entries, different accounts are opened for all those transactions which are written in debit or credit of journal entries. Only one account is opened by one name and all the entries done by that name are recorded in journal entries.

(2) For ledger posting first of all it should be ob-
served that in journal entry the concerned account is debited or credited. If it is debited then in debit side the name of that account is written which is credited in journal- entry. If that account is credited in entry then in credit side of its ledger account the name of that account will be written which is debited.

Closing and Balancing of Accounts

Generally accounts are made for the period of one year. The businessmen which take a base of calendar year,they close their accounts on 31st December. The businessmen who consider financial year they close their accounts on 31st March. Though a businessman can, close his accounts whenever he wishes, as quarterly, half yearly or yearly.

In ledger an aggregate effect is shown of transactions concerned to various accounts, but to know the position of some particular assets account or any person, it is necessary to get its balances. Balances means the difference between the credit side and debit side of any account.

To find but balance both sides of every account of ledger are totalled and their difference is taken out. Then it is seen that which side’s total is greater. The side whose total is greater the balance is called by its name. In the other side “Balance carried down” is written: Generally this balance is taken on the last date of every year. On the first date of next year this balance is written in opposite side of the “particular” column by the name of Balance brought forward and the amount is written in the cash column.

The balance of income expenditure or unreal ac-
counts is not taken out but its difference is transferred to profit and loss account or trading account. For this in the particular column of credit side of all accounts of income “P and L A/c” is written and sum is made equal because the balance of income accounts is always credit. In the same way in all expenditure account in the “particular” column of credit side “By P and L A/c” is written and the sum is made equal, because the balance of all expenditure accounts is
always debit. Purchases-sales, Purchases Return, Sales-Returns and the expenditure on purchases are transferred to trading account.

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