Ledger

Ledger

A Ledger is a book where journal entries are posted into individual ledger accounts in a chronological order. A ledger account is maintained to calculate the account balances at the end of every month and to summarize the financial information from the journal. Any ledger account will have two sides to represent debit and credit balances.
If the debit side exceeds the credit side, it indicates a debit balance.
Whereas, if the credit side exceeds the debit side, it indicates a credit balance.


    • Related Articles

    • Trial Balance

      Trial Balance is a statement which contains the closing balances of all the ledger accounts as of a particular date. It has two sides: debit and credit to enter the respective closing balances of ledger accounts. The main purpose of running a trial ...
    • Opening Balance

      The debit or credit balance of a ledger account brought forward from the old accounting period to the new accounting period is called opening balance. This will be the first entry in a ledger account at the beginning of an accounting period. In other ...
    • Coordinator

      Blockchains are essentially a complicated series of transactions kept in a distributed ledger. A decentralized network of validator nodes then verifies this ledger. While this is the most simplistic way to look at a blockchain, there are numerous ...
    • Reconciliation

      Reconciliation is the process of comparing a bank statement with the bank ledger (chart of account) entries to correct any discrepancy in the book of accounts. All the companies perform reconciliation to ensure that the accounting is in line with the ...
    • Journal

      A journal, commonly known as the Book of Original Entry or the Day Book is a book of transactions recorded in a chronological order. Usually, transactions are recorded in a journal before they are recorded in a ledger account. The details entered to ...