Initially all transactions are posted to daybook or general journal. Business document or source document identified earlier such as invoice is used to record transactions.

Recording transactions in daybooks are called entries.

Total from daybooks is transferred to relevant nominal ledger control account at regular intervals such as day or week or month depending on frequency of transactions.

Making total of relevant daybook is called casting.

Transferring of totals from daybooks to nominal ledger is called posting.

If entity wish to maintain memorandum accounts, then individual entries made in the daybook is posted to relevant memorandum account under relevant title of account.

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