Chapter 5 Pages

 If only a _______________ was used you would have to search through all journal pages to find items affecting a single account.  For this reason a form is used to summarize in _________ place all the changes to a single account.  A separate from is used for ___________ account.

 An ______________________________ is based on and includes: 1. Transaction ________________ 2. Journal _________________ 3. __________ & _________ sides of a T account – (Often referred to as the ______________________ account form.)

 __________________ a group of accounts.  __________________ a ledger that contains all accounts needed to prepare financial statements.  ___________________ the name given to an account.  ___________________ the number assigned to an account.

 ____________________ a list of account titles and numbers showing the location of each account in a ledger.  Balance Sheet accounts & Income Statement accounts.  Accounts in a general ledger are arranged in the same order as they appear on a financial statement: 1: _________________ 2: Liabilities  3: ________________ 4: Revenue 5: Expenses

 1 st digit = the ledger division in which account is located (assets = 100)  2 nd 2 digits = the location of each account within a general ledger division (50 for supplies says the account is between ________.)  Usually assign numbers by __________. When new account is added next number is sequenced in ___________.

 ________________________ the procedure for arranging accounts in a general ledger, assigning account number and keeping records current.  Usually ________________________ order.  Should leave some unused numbers on either side for other accounts.

 When an account is no longer used, it is _____________ from the general ledger and chart of accounts.  (EX: buy a building – no longer need rent expense)  Used 3 digits here but if had more accounts would chance to 4 or more digits

 ________________________ writing an account title and number on the heading of an account. 1. Write the account _______________, after the word “Account” 2. Write the account _______________, after the words “Account No.”

 __________________: transferring information from a journal entry to a ledger  Posting sorts journal entries so that all __________ & _____________ affecting each account are brought together.

1. Separate amounts in a journal’s general amount column are posted ____________ to the account written in the Account Title column. 2. Separate amounts in a journal’s special amount columns are not posted individually – instead the ______________ are posted.

1. Write the _____________. 2. Write the __________. In the post ref column put the _____________ page number. 3. Write the debit amount in the general debit column. 4. Write the new ________________ in the balance column. 5. Return to the journal and write the account number in the ________________ column.

1. Write the _____________. 2. Write the __________. In the post ref column put the _____________ page number. 3. Write the debit amount in the general debit column. 4. Write the new ________________ in the balance column. 5. Return to the journal and write the account number in the ________________ column.

 The posting reference is always recorded in the journal as the __________ step in the posting procedure.  Why?  If it is left blank we know what?

 Special amount columns: __________________________________________  Last chapter we put a check mark in the post reference column – now we just post the _____________ for these special amount columns.

 The general account totals are ________ posted – because they have already been posted ____________.  Therefore, under the totals of these columns you put a ______________.  The totals post reference column is left ___________.

 An incorrect journal entry should be corrected with an additional journal entry called a correcting entry.  Correct by ruling through the item  Discovered a payment of cash for advertising was journalized and posted in error as a debit to Miscellanous Expense instead of Advertising Expense, $210.  Debit Advertising & Credit Misc. Expense