Recording The Entry In Journal

                        Recording The Entry In Journal

                                           Entry 

Recording a transaction in the appropriate place of the concerned book of account is called Entry.

Entry may be divided into two:

1. Journal Entry
2. Ledger Entry 

                                         Journal Entry

Recording a transaction in a journal is called journal entry or journalising.

                                          Ledger Entry

Recording a transaction from journal to the concerned account in ledger is called ledger entry. it is also known as ledger posting.

                                           Narration

A short explanation of each transaction is written under each entry which is called Narration. The  subject matter of the transaction can be ascertained through narration. Besides this, if there may be any mistake in determining debit or credit aspects of a transaction, it can be easily detected from narration.

      "A journal entry is not completed without narration."

                               Characteristics Of Journal

• Journal is the first successful step of the Double Entry system. A transaction is recorded first of all in the journal. So, journal is called the book of Original Entry
• A transaction is recorded on the same day it takes place. So, journal is also called a Day Book.
• Transaction are recorded chronologically. So, journal is called Chronological Book .
• For each transaction the names of two concerned accounts indicating which is debit and which is credit, are clearly written in two consecutive lines. This makes ledger-posting easy. That is why journal is called "Assistant to ledger" or "Subsidiary Books".
• Narration is written below each entry.
• The amount is written in the last two columns - debit amount in debit column and credit amount in credit column.