| A | B |
|---|
| General Ledger | “Where the accounts used by a business are kept.” |
| Ledger Account Form | “The accounting stationery used to record financial information about specific accounts.” |
| Posting | “The process of transferring information from the general journal to individual general ledger accounts.” |
| Proving The Ledger | “Comparing the DR and CR balances of all of the accounts in the General Ledger to see whether they are equal.” |
| Trial Balance | “A formal way to prove DRs = CRs in the General Ledger.” |
| Transposition Error | “Occurs when two digits within an amount are accidentally reversed.” |
| Slide Error | “Occurs when a decimal point is moved by mistake.” |
| Correcting Entry | “When an error in a journal entry is discovered after posting |
| Matching principle | “principle requiring that the expenses incurred in an accounting period are matched with revenue earned in the same period.” |
| Net income | “The amount by which total revenue exceeds total expenses for the accounting period.” |
| Net loss | “The amount by which total expenses exceed total revenue for the accounting period.” |
| Ruling | “Drawing a line; a single rule (line) drawn under a column of figures indicates that the entries above the rule are to be added or subtracted. If an amount is a total and no further processing is needed |
| Work sheet | “A working paper used to collect information from the ledger accounts for use in completing end-of-period activities.” |
