CBSE Class 11-commerce Answered

Format of a journal:

1. Date: Date of the transaction is entered in the first column. This date is entered only once unless and until there is change in the date of transaction. It should be entered in a proper sequence.
2. Particulars: Each business transaction has two accounts- debit and credit. In the first line of the particular column, name of the debit account is written along with word Dr. at the end. In the second line, start with the word To and after some space from the margin, the name of the credit account is written.
3. Narration: Explanation of the transaction is provided with in the brackets after each journal entry is called narration.
4. Ledger Folio: All journal entries are posted later into the ledger accounts. The page number or folio number of the ledger is recorded in the L.F. column of the journal. Till then, the column remains blank.
5. Debit: The amount of the account being debited is written in this column.
6. Credit: The amount of the account being credited is written in this column