(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.
Closing entries: Closing entries are those journal entries which are passed to transfer the balances of temporary accounts to the permanent accounts. These are passed at the end of the accounting period, to transfer the final balance.
Accounting rules for closing entries are:
- Debit the account: All temporary accounts with credit balances.
- Credit the account: All temporary accounts with debit balances
To Prepare: (a)The closing entries as on June 30, 2017 (b) post-closing
(b)
Post Closing Trial Balance: The trial balance which lists all
To Prepare: post-closing trial balance.

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Accounting Principles volume 2
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