Transcript Posting from a General Journal to a General Ledger Accounting I Chapter 4, Section 3 Proving Cash  Amount of cash in checkbook is the same as the.

Posting from a
General Journal to a
General Ledger
Accounting I
Chapter 4, Section 3
Proving Cash

Amount of cash in checkbook is the same as
the balance in the Cash account
Correcting Entry

Made to correct an error in the ledger.


If transaction was journalized and posted
incorrectly.
Memorandum is source document.
Journalizing a Correcting Entry
November 13. Discovered that a payment of cash for advertising in
October was journalized and posted in error as a debit to Miscellaneous
Expense instead of Advertising Expense, $120.00. Memorandum No. 45.
Advertising Expense
1. Which accounts are affected?
Advertising Expense
Miscellaneous Expense
Debit
Normal Balance
120.00
2. How is each account classified?

Advertising Expense is an expense account.
Miscellaneous Expense is an expense
Miscellaneous Expense
account.
Debit
Normal Balance
4. How is each amount entered in the accounts?
Expense accounts increase on the debit side.
Expense accounts decrease on the credit side.
120.00

3. How is each classification changed?
Expenses are increased.
Expenses are decreased.
Journalizing a Correcting Entry
2
1
3
4
1. Write the date.
2. Debit Advertising Expense.
3. Credit Miscellaneous Expense.
4. Write the source document
number.
Problems

Work Together 4-3 (Textbook pg. 108)

On Your Own 4-3 (Textbook pg. 108)

Application 4-3 (Textbook pg. 111)

Mastery 4-4 (Textbook pg. 111)