What is the difference between a journal and a ledger?

Answer 1

A ledger is the record of entries. The name ledger comes from the time when ledgers were very large books in which all of the finance entries for a person or business were stored. They would be stored on the window ledge as the space was available and it would allow the scribe to be able to use the light provided from the window.
A journal is used to make entries into the accounts, so you use a journal to make entries into a ledger.

Hope this helps

Answer 2

A journal is a book where every transaction is registered.

It tells the accountant what has happened, like a movie.

- raw materials were received (quantity, cost, supplier, etc). Account affected: raw materials inventory and debt to suppliers
- finished goods are sold (quantity, price, customer, etc). accounts affected: Cash and finished goods inventory
etc.
Every transaction reflects the accounts that has been affected.

You could think about the journal as a notebook, where everything is registered to be worked more properly later.
It's the movie of what has happened.

With the journal as a source, the ledger is prepared.

The ledger has many accounts.
Every account is like a book shelve where everything registered in the journal is allocated.
It tells everything that you have or owe.

Ledger is a photo of your belongings at a certain moment.
It's static.

Answer 3

OK
A LEDGER is where all the accounts are maintained. It contains Dr(amount paid or bill raised etc.) and Cr.(amount received or any other receipts in the form of bil etc.) It also contain the date of transaction, details and the balance on particular date. The entries come from different day books (Cash, Bank, Bill registers and journal)

Now JOURNAL - it is a part of day book. In day book details of cash, bank and bill transactions are entered and then posted to respective accounts in the ledger. Whereas the journal contains entries for making provisions, adjustments etc. without actual cash or bank or othe transition. Here a entry or provision will be debited to one account and also credited to any other account. The entries from Journal are posted to Ledgers.

Answer 4

General Ledger is the track of an invoice or transaction total. A journal records each item in an invoice in detail.

Like if you have an invoice for item 1, 2, and 3. You would record the total of the invoice in the general ledger. If you want more detail, you will also have a journal to put each item in separate accounts.

If you buy supplies and you are a small company, your account may just be 'supplies'. If you have a large business and you have office supplies, warehouse supplies, front desk supplies, or supplies for each department; you would need a journal because your invoices may include items that need to be in separate accounts.

Answer 5

In a Ledger you record all of the day-to-day activities of a company, whereas a Journal is for error corrections, such as the entry of £35.00 in a Ledger that should have read £53.00

Answer 6

In a ledger we open up accounts having a denit side and a credit side. More information can be included such as the date, folio number...

In a journal we lis down all transactions according to when they took place. First the debit is written then the credit below it. A narrative is usually written under each transaction.

Answer 7

You record in a journal and post to a ledger.

Answer 8

1

Answer 9

Journal is used to pass entry for transactions that do not involve cash and bank whereas each transactions are posted on respective ledger.

Hope this helps.

Answer 10

Strange you should ask that, I have wondered that myself recently and I still dont know the answer