PSY2102 Lecture Notes - Lecture 5: General Ledger, Trial Balance, Capital Structure

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15 Apr 2023
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Books of accounts include documents and books used in the preparation of financial statements. It includes journals, ledger, cash book and subsidiary books. A company"s most frequent transactions involve the receipt and payment of money, the sale of goods, or both. Keeping separate registers for each of them is a practical solution. Books of accounts is a record of this kind and is the most important document for performing further accounting procedures. Assets, liabilities, incomes and expenses are tracked in these accounts. As a general rule, the term book of accounts is most commonly used to describe the general ledger in double-entry accounting systems. All of an organisation"s accounts, along with their current balances, are part of the general ledger. Books of accounts is a record of all financial information about a business or an organisation. Principal books of accounts these books provide information for the preparation of trial.

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