Question

How is a posting made from the journal to the ledger?

Answer 1

The process of transferring the debit and credit items from the journal to the ledger accounts is called posting.

The procedure of posting from journal to ledger is as follows:

1. Locate the ledger account that is debited in the journal entry. Open the respective account in the ledger, if already not opened. Write the name of the account in the top middle. If already opened, locate the account from the ledger index. Now entries are to be made on the debit side of the account.
2. Record the date of the transaction in the date column on the debit side of that account.
3. Record the name of the account credited in the journal with the prefix ‘To’ in the particulars column.
4. Record the amount of the debit in the ‘amount column’.
5. Locate the ledger account that is credited in the journal entry. Open the respective account in the ledger, if already not opened. Write the name of the account in the top middle. If already opened, locate the account from the ledger index. Now entries are to be made on the credit side of the account. Record the date of the transaction in the date column. Record the name of the account debited in the journal entry in the particulars column with the prefix ‘By’ and write the amount in the Amount column.