BALANCING OFF LEDGER ACCOUNTS : LSUS
FINANCIAL ACCOUNTING SSS1 FIRST TERM
WEEK 6 &7
BALANCING OFF LEDGER ACCOUNTS
Performance Objectives
Students should be able to:
- What is a ledger?
- List and explain three classifications of the ledger.
- List six accounts found in the nominal ledger.
NOTES
At the end of the month (or year or at some other convenient intervals), it is usual to balance the ledger accounts that are kept by the business. The balance of each ledger account is the difference between the two sides of the account and it represents the amount which is left in that account.
The steps necessary to balance a ledger account are summarized as follows:
- Using a calculator, add up each side of the account and find the difference between the total of the two.... View More
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