DEFINITION OF JOURNAL & GOLDEN RULES OF JOURNALISING:

 

Meaning of Journal:- 

                    The term Journal is derived from the French word 'Jour' which means daily recorded.

  Journal is a primary book of original entry. In this book, the business transaction are recorded in chronological order firstly. 

 It has five columns such as- Date, Particulars, ledger folio no., Debit and Credit.

Golden rules of JOURNALISING -

 

1- Personal A/c :- Receiver is Debit.

                               Giver is Credit.

2- Real A/c :-.  What comes in is Debit.

                           What goes out is Credit.

3- Nominal A/c :- All expenses losses are Debit.

                 All income and profits are Credit.