“POSTING” TO THE GENERAL LEDGER The Accounting Cycle “POSTING” TO THE GENERAL LEDGER

Take up homework Page 115 # 3

How do we come up with our financial statements? We still need to collect the entries just like we had using our T – accounts Journalizing: Completing journal entries Posting: Transferring numbers from the journal to the general ledger

Posting Accounting data in this journal entry has not yet been transferred to the ledger. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Turn to the proper accounts in the ledger: Office Furniture Many of the same headings appear in the General Ledger Notice the balance is also calculated after each “Post” Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Turn to the proper accounts in the ledger: Office Furniture, Bank, Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Turn to the proper accounts in the ledger: Office Furniture, Bank, and Accounts Payable—Office Supply Company. Have a look at the No. in the top right corner, where have you seen this before? Chart of Accounts Chapter 7 – Posting l Accounting 1, 7th Edition

T-account vs. Balance Column Account

Posting Step 1: Record the date. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 2: Record the page number where the transaction was journalized. This “P . R” column is the “Posting Reference” Be careful this is not the date, it is simply reference to the Journal Page Number Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 3: Record the amount Posting Step 3: Record the amount. Be sure to post debits in the debit column and credits in the credit column. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 4: Calculate the new account balance and identify it as either A debit (Dr) or credit (Cr). What could this “Forwarded” mean under the Particulars Heading? The balance is simply transferred from an earlier General Ledger page Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 5: Enter the new balance. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 6: Record the account number in the journal’s P.R. column. This is your proof of posting and must always be the final step. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Next entry. Step 1: Record the date. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 2: Record the page number where the transaction was journalized. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 3: Record the amount Posting Step 3: Record the amount. Be sure to post debits in the debit column and credits in the credit column. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 4: Calculate the new account balance and identify it as either debit (Dr) or credit (Cr). Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 5: Enter the new balance. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 6: Record the account number in the journal’s P.R. column. This is your proof of posting and must always be the final step. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Next entry. Step 1: Record the date. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 2: Record the page number where the transaction was journalized. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 3: Record the amount Posting Step 3: Record the amount. Be sure to post debits in the debit column and credits in the credit column. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 4: Calculate the new account balance and identify it as either debit (Dr) or credit (Cr). Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 5: Enter the new balance. Chapter 7 – Posting l Accounting 1, 7th Edition

Posting Step 6: Record the account number in the journal’s P.R. column. This is your proof of posting and must always be the final step. Chapter 7 – Posting l Accounting 1, 7th Edition

Special situations First entry in a Ledger Account: Particulars Opening Amount Forwarded

Homework Page 133 # 4ac, 5a-c, 7, 8