0
Double Entry  System 2    DR         CR
The Accounting System to record transactions     Click     me!
ObjectivesAt the end of the lesson, students should be able to :• know what are General Journal and Special Journals.• abl...
An Overview…    General               Special    Journal               Journals        Ledger Accounts          Trial Bala...
GENERAL              JOURNALDate   Particulars      Debit   Credit                         $        $
(Debit)       (Credit)       (Credit)Assets = Owner’s Equity + Liabilities Debit        Credit          Credit Credit     ...
a) John began business with cash inhand   $5000 on 1 January 2000.                   General JournalDate           Particu...
b) John began business with a bankloan of $8000 on 1 January 2000.                   General JournalDate           Particu...
c)     John used $2000 to buy a motor     vehicle        for business use on 16 March 2000.                    General Jou...
d)     John repaid bank loan of $1500     using cash        on 27 Oct 2000.                    General Journal Date       ...
e) John sold goods at $6000 on credit to         ABC Ltd on 26 November 2000.                    General Journal Date     ...
f) Stock count was conducted and  closing stock    was found to be $10,000 on 31 Dec  2000.     General Journal Date      ...
It is common for the owner to draw money orgoods from the firm for personal use anytime.According to the Accounting Entity...
It is common for the owner to draw money orgoods from the firm for personal use anytime.According to the Accounting Entity...
g) The owner withdrew cash $1000 for  his    personal use on 1 April 2000.                     General Journal Date       ...
An Overview…    General               Special    Journal               Journals        Ledger Accounts          Trial Bala...
4 SPECIAL          JOURNALSPurchases JournalReturns Outwards JournalSales JournalReturns Inwards Journal
Reason for the purchases journal…                  General JournalDate                 Particulars     Debit    Credit2000...
Purchases Journal…                 Dr                                          Purchases                                  ...
Returns Outwards Journal…                 Dr Creditors                                                         Cr         ...
Reason for the Sales Journal…                  General JournalDate                Particulars      Dr      Cr2000         ...
Sales Journal…            Dr Debtors                                         Cr Sales               Sales JournalDate     ...
Returns Inwards Journal…                  Dr Returns                                                      Inwards         ...
Tips to remember…      IN                OUT Debit           CreditReturns          ReturnsInwards         Outwards
Upcoming SlideShare
Loading in...5
×

4 slides5.1

168

Published on

Published in: Education
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
168
On Slideshare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
7
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Transcript of "4 slides5.1"

  1. 1. Double Entry System 2 DR CR
  2. 2. The Accounting System to record transactions Click me!
  3. 3. ObjectivesAt the end of the lesson, students should be able to :• know what are General Journal and Special Journals.• able to record simple business transactions using the Double Entry Accounting System into the General / Special Journals.
  4. 4. An Overview… General Special Journal Journals Ledger Accounts Trial Balance AdjustmentsPrepare Simple Financial Statements
  5. 5. GENERAL JOURNALDate Particulars Debit Credit $ $
  6. 6. (Debit) (Credit) (Credit)Assets = Owner’s Equity + Liabilities Debit Credit Credit Credit Debit Debit
  7. 7. a) John began business with cash inhand $5000 on 1 January 2000. General JournalDate Particulars Debit Credit2000 $ $Jan 1 Cash in hand 5000 Capital-John 5000 John began business with cash $5000.
  8. 8. b) John began business with a bankloan of $8000 on 1 January 2000. General JournalDate Particulars Debit Credit2000 $ $Jan 1 Cash in hand 8000 Loan from bank 8000 John began business with a bank loan of $8000.
  9. 9. c) John used $2000 to buy a motor vehicle for business use on 16 March 2000. General Journal Date Particulars Debit Credit2000 $ $Mar 16 Motor Vehicle 2000 Cash 2000 John bought a motor vehicle worth $2000.
  10. 10. d) John repaid bank loan of $1500 using cash on 27 Oct 2000. General Journal Date Particulars Debit Credit2000 $ $Oct 27 Loan from Bank 1500 Cash 1500 John repaid the bank loan.
  11. 11. e) John sold goods at $6000 on credit to ABC Ltd on 26 November 2000. General Journal Date Particulars Debit Credit2000 $ $Nov 26 Debtors (ABC Ltd) 6000 Sales 6000 Sales worth $6000 to ABC Ltd.
  12. 12. f) Stock count was conducted and closing stock was found to be $10,000 on 31 Dec 2000. General Journal Date Particulars Debit Credit2000 $ $Dec 31 Stock 10,000 Trading 10,000 To record closing stock worth $10,000.
  13. 13. It is common for the owner to draw money orgoods from the firm for personal use anytime.According to the Accounting Entity concept,we must record the event even though he isthe owner of the firm. What do you call this? Click me!
  14. 14. It is common for the owner to draw money orgoods from the firm for personal use anytime.According to the Accounting Entity concept,we must record the event even though he isthe owner of the firm. DRAWINGS
  15. 15. g) The owner withdrew cash $1000 for his personal use on 1 April 2000. General Journal Date Particulars Debit Credit2000 $ $April 1 Drawings 1000 Cash 1000 To record drawings of $1000 cash.
  16. 16. An Overview… General Special Journal Journals Ledger Accounts Trial Balance AdjustmentsPrepare Simple Financial Statements
  17. 17. 4 SPECIAL JOURNALSPurchases JournalReturns Outwards JournalSales JournalReturns Inwards Journal
  18. 18. Reason for the purchases journal… General JournalDate Particulars Debit Credit2000 $ $Mar 2 Purchases 200 Creditors-ABC 200April 7 Purchases 600 Creditors-Peter 600May 12 Purchases 1000 Creditors-PCK 1000
  19. 19. Purchases Journal… Dr Purchases Cr Creditors Purchases JournalDate Particulars Cr2000 $Mar 2 Creditors-ABC 200April 7 Creditors-Peter 600May 12 Creditors-PCK 1000 Total purchases to be debited 1800
  20. 20. Returns Outwards Journal… Dr Creditors Cr Returns Outwards Returns Outwards JournalDate Particulars Dr2000 $Mar 5 Creditors-SBS 100April 9 Creditors-David 600May 26 Creditors-PCK 500 Total returns outwards to be credited 1200
  21. 21. Reason for the Sales Journal… General JournalDate Particulars Dr Cr2000 $ $Mar 2 Debtors-ABC 200 Sales 200April 7 Debtors-Peter 600 Sales 600May 12 Debtors-PCK 1000 Sales 1000
  22. 22. Sales Journal… Dr Debtors Cr Sales Sales JournalDate Particulars Dr2000 $Mar 2 Debtors-ABC 200April 7 Debtors-Peter 600May 12 Debtors-PCK 1000 Total sales to be credited 1800
  23. 23. Returns Inwards Journal… Dr Returns Inwards Cr Debtors Returns Inwards JournalDate Particulars Cr2000 $Mar 9 Debtors-ABC 100April 9 Debtors-Peter 200May 24 Debtors-PCK 300 Total returns inwards to be debited. 600
  24. 24. Tips to remember… IN OUT Debit CreditReturns ReturnsInwards Outwards
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×