The debit and the credit columns of the journal are totaled.Select one:TrueFalse
Question
The debit and the credit columns of the journal are totaled.
Select one:
- True
- False
Solution
Understanding Journal Totals
In accounting, a journal is used to record all transactions in chronological order. Each entry has two sides: a debit and a credit. The fundamental principle of double-entry accounting states that every transaction affects at least two accounts, meaning that total debits must equal total credits.
Answer to the Question
- Journal Entries: Every journal entry includes both a debit and a corresponding credit.
- Balancing: At the end of the accounting period, the totals of the debit and credit columns should match.
- Verification: This matching process ensures accuracy in financial records.
Final Answer
True. The debit and the credit columns of the journal are totaled to ensure that they balance, which is a core principle of double-entry accounting.
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