Practical Bookkeeping and Accounting e-bog

Whilst the greatest effort has been made to ensure the quality of this text, due to the historical nature of this content, in some rare cases there may be minor issues with legibility. The simplest way to teach or to learn any subject is to commence at the be ginning, and take each step in logical order. In bookkeeping, start with the transaction. The next step is the journal entry to record the transaction. The journal entry is the basis of every entry in any book of original entry. The first record of every transaction is a journal entry or its equivalent. The Ledger Account is the record of final entries, the end of the transactions so far as bookkeeping is concerned. Hence, the logical development must begin with the journal entry and develop toward the Ledger account as the final record in the routine of bookkeeping, terminating in the Trial Balance. Accounting is the auditing of the bookkeeping to determine the correctness of it, the preparation of the Balance Sheet and Profit and Loss Statement, the closing of the books to correspond with these statements, the preparing of analysis sheets or detailed statements, schedules and comparative statements for the information of the management of the business. There are two sides to every question, and, if only one side is considered and the other side ignored, the idea is hazy and incomplete. This is notable in every argument of a question. There are two sides to every business trausse tion, and if both sides are considered at the same time, the idea is clear and complete. The journal entry of a transaction considers both sides, and the idea is complete in the mind and the record is complete in the books. Carrying out this plan of logical development by easy steps, and securing the complete idea for each step before the next step is taken, not only the routine of bookkeeping is made easy to learn, but the elements of accounting are introduced in the natural place and order, and are made as easy to learn and to teach as the routine of bookkeeping.