Rules of Journalizing:

10:35 PM imran ali

We have already discussed that journalizing is a task of recording transactions in a journal. Before journalizing a transaction, following three steps must be minded.

  1. Firstly, we need to find out the two aspects or two fold effect of a transaction.
  2. Secondly, we need to identify the accounts whether they are personal, real or nominal accounts.
  3. Finally, we need to use the golden rules of debit and credit.