Day 24: More Transaction Practice

Problems:

   (pg 93, PR 2-3A)
   (pg 96, PR 2-3B)

 Posting Journal Entries to Accounts

·    The debits and credits for each journal entry are posted to the accounts in the order in which they occur in the journal.

·    posting uses the following four steps:

o Step 1. The date (Dec. 1) of the journal entry is entered in the Date column of Prepaid Insurance and Cash.

o Step 2. The amount (2,400) is entered into the Debit column of Prepaid Insurance and the amount (2,400) is entered into the Credit column of Cash.

o Step 3. The journal page number (2) is entered in the Posting Reference (Post. Ref.) column of Prepaid Insurance and Cash.

o Step 4. The account numbers (15) and (11) are entered in the Posting Reference (Post. Ref.) column in the journal.

 Video: General Journal and Ledgers (6:20)