Accounting Chapter 4

ledger

A group of accounts

correcting entry

A journal entry made to correct an error in a previous journal entry

general ledger

A ledger that contains all accounts needed to prepare financial statements

account number

The number assigned to an account

file maintenance

The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current

posting

Transferring information from a journal to a ledger account

opening an account

Writing an account title and number on the heading of an account