After analyzing the financial transaction and identifying the debit and credit accounts, the stage of recording the entry in the journal comes.
It is a book in which daily financial transactions are recorded in the form of accounting entries according to the chronological sequence of their occurrence, and they come as follows:
As you can see from the previous figure, the journal contains the following fields:
- Debtor: In this field, the amounts belonging to the debtor party are recorded from the accounting entry.
Creditor: In this field, credit amounts belonging to the creditor party are recorded from the accounting entry.
Statement: In this field, the accounting entry is recorded on both sides, the debit and the credit, with a brief explanation of the entry.
Registration number: In this field, the registration number is recorded in a sequential manner.
Document number: In this field, the name and number of the direct document (receipt, disbursement, entry) is recorded, which proves the financial transaction that took place.
Ledger page number: In this field, the account page number is recorded in the ledger, to which the debit or credit amounts affected by the account will be posted.
Date: In this field, the date of the financial transaction is recorded.
Types of accounting entries
As we explained earlier, this entry contains two accounts, one of which is placed on the debit side and the other on the credit side.
The compound entry contains more than one account on the debit side, on the credit side, or on both. If the debit side contains more than one account, we use the symbol (from the two mentioned), and if the credit side contains more than one account, we use the symbol (to the two mentioned). , so that it takes the following forms:
This is a set of operations carried out by Al-Salam Company during the first month of its establishment on 01/01/2016
Recording financial transactions in the daily book.
طريقة الحل :
Note: The seventh transaction was not recorded because it is not a financial transaction, but rather an administrative process pertaining to the Employment Department.
After the financial transactions are recorded in the journal, these transactions will then be transferred to the page of each account affected by the financial transaction in the ledger. The process of transferring financial transactions from the journal to the ledger is called the posting process, and this will be explained in the next lesson.