What is the basic difference between journal and ledger?

Key Differences Between Journal and Ledger When the transactions are entered in the journal, then they are posted into individual accounts known as Ledger. The Journal is a subsidiary book, whereas Ledger is a principal book. The Journal is known as the book of original entry, but Ledger is a book of second entry.Click to see full answer. Subsequently, one may also ask, is a journal entry the same as general ledger?Key Takeaways. A general journal refers to a book of original entry in which accountants and bookkeepers record business transactions, in order, according to the date events occur. The general ledger tracks five prominent accounting items: assets, liabilities, owner’s capital, revenues, and expenses.Subsequently, question is, what is debit and credit? A debit is an accounting entry that either increases an asset or expense account, or decreases a liability or equity account. It is positioned to the left in an accounting entry. A credit is an accounting entry that either increases a liability or equity account, or decreases an asset or expense account. Keeping this in consideration, is Cash book a journal or a ledger? Cash Book is both a Journal and a ledger: Cash Book plays dual role.as a boor of original entry (or primary entry) as well as a ledger. It is a subsidiary book because all cash transactions are, first recorded in the cash book and then from cash book posted to various accounts in the ledger.What is contra entry?Contra entry is a transaction which involves both cash and bank. Both debit aspect and credit aspect of a transaction get reflected in the cash book. For example: Cash received from debtors and deposited into bank. Cash withdrawn from bank for office use.