General Ledger

General Ledger

A company maintains a general ledger to log and categorise all of its financial transactions, including its assets and liabilities, equity capital, revenue and expenses into debit and credit entries. As the ledger forms the basis for drawing up the trial balance and financial statements, company accountants will reconcile ledger entries on a regular basis to minimise errors. The balance shown in each ledger account must match the source documents.

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