Bookkeeping Ledger Test
What is the meaning of each page of the general ledger?
Explanation:
The accounts from the chart of accounts are referred to as general ledger accounts by accountants.
Mark the three main ledgers that are utilized in double-entry accounting.
Please select 3 correct answers
Explanation:
In the double-entry bookkeeping system, there are three ledgers.
The General Ledger
The Accounts Receivable Ledger
The Accounts Payable Ledger
Accounts payable and receivable ledgers are
Explanation:
An accounts receivable subsidiary ledger is an accounting ledger that displays each customer's transaction and payment history for whom the company offers credit. To ensure accuracy, the balance in each customer account is regularly reconciled with the accounts receivable balance in the general ledger.
Where did the general ledger information come from?
Explanation:
A general ledger is a financial ledger aggregating accounting data from sub-ledgers such as accounts payable, accounts receivable, cash management, fixed assets, purchasing, and projects.
What is the usual format for a ledger?
Explanation:
The page is divided into two equal half in the usual format of a ledger account. The debit side is the left-hand side, and the credit side is the right-hand side. It's also the T-shaped format because it's formed like the capital letter "T."
The debit and credit sides of a single business transaction are shown on the same ledger page.
The correct answer:
False
What is the general ledger's alternative name?
Explanation:
In accounting, a ledger is a book that contains accounts, which are records of transactions that occur in the business. It's also known as the influential book of funds or the book of final entry. It's a book where all of the ledger transactions are recorded.
Debits are recorded on which side of the ledger?
Explanation:
All debit accounts should be entered on the left side of a ledger, while credits should be written on the right. Credits and debits must be equal in a general ledger to be balanced. Debits add an asset, cost, and dividend accounts, whereas credits subtract from them.
One of the functions of a ledger is to:
Explanation:
It keeps track of all financial transactions in a precise manner. It aids in compiling a trial balance, ensuring that your books are in order. Because all spending and income are in one place, filing tax returns is simple. It shows you your actual revenue and expenses to keep track of your spending.