What is Journal and how many types of journals are in accounting?
These are the first formal books in which information regarding transaction is recorded . For the same reason they are also named as books of prime entry or books of original entry or day books. While making a record certain format is followed that only summarizes the information but also keep the value of information […]
What is the difference between Account and Ledger?
If we sum up the whole story in one line then it will be like this; Account is a place where transactions are recorded and Ledger is a place where accounts are maintained. Basically when the transaction occurs, we identify the nature of the transaction and then it is recorded in the proper account. Different […]
What is Private ledger?
Private ledger is basically such book of accounts in which such accounts are maintained which are maintained to be confidential. Therefore, any such account which might cause some privacy issues or the one that is crucial for the owners’ of the business than such account is maintained under Private ledger. It cannot be treated as […]
What is nominal ledger?
First of all students must not confuse the accounts with ledgers. These are two totally different things. Even though these terms are loosely used for each other but they are certainly not the same. Ledgers can be regarded as big registers where we write up and update different accounts. So, it means accounts are specific […]
