(a)
Journalizing: It is the process of recording the transactions of an organization in a chronological order. Based on these
Accounting rules for journal entries:
- To increase balance of the account: Debit assets, expenses, losses and credit all liabilities, capital, revenue and gains.
- To decrease balance of the account: Credit assets, expenses, losses and debit all liabilities, capital, revenue and gains.
Léger Account: Leger account is an accountings book in which the debit entries are shown at the left side of the account and credit entries are shown at the right side of the account. It can be termed as principal book.
To prepare:
(b)
To prepare: A trial balance.
(c)
To identify: The net income without the preparation of income statement.

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Chapter 3 Solutions
ACCT.PRINCIPLES-WILEYPLUS NEXTGEN
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