Balancing A Ledger Account Flashcards
1
Q
What is the first step to balancing a ledger?
A
Total both the debit and the credit side of the ledger account and make a note of each total
2
Q
What is the second step to balancing a ledger account?
A
Insert the higher of the two totals as the total on both sides of the account leaving a line beneath the final entry on each side of the acc
3
Q
What is the third step to balancing a ledger?
A
On the side with the smaller total insert the figure needed to make this colour add up to the total (this figure is called balance carried down)
4
Q
What is the last step of the ledger account?
A
On the opposite side of the ledger account, below the total insert the same figure and call it balance brought down
