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CLASS – XI

ACCOUNTANCY

LESSON NOTE ON - JOURNAL

1. Meaning of journal:

• It is derived from French word “ jour” which means a diary.
• It is a book of Original or Prime Entry in which the business

transactions are recorded in Chronological Order, it means as and

when they take place.
• It is recorded on the basis of Vouchers.

2. Features of Journal:
✓ Transactions are recorded in Chronological Order.

✓ It records both debit & credit aspects of the transaction.
✓ Transactions are recorded on daily basis.

✓ Entry recorded in the journal is called Journal Entry.

3. Advantages of Journal:

• Journal reduces the possibilities of Committing errors

• It Provides an Explanation of transaction (Narration )

• Provides Chronological record of transaction
• Helps in ledger Posting

4.Steps of Journal:

• Step – 1 : Identify the accounts in the transaction

• Step – 2 : Classify the accounts

• Step -3 : Do the analysis of increase / decrease
• Step – 4: Apply the rule of Modern approach for debit & credit

• Step -5: determine the amount with which it is to be debited or credited

• Step -6: Fill the date Column
• Step - :7: Fill particulars Column with narration

• Step – 8: Write the amount in debit & credit column