Ledger

Definition of Ledger

Ledger is just a register or bound book in which there are large numbers of pages according to serial no. In ledger, one page is distributed for one account. If account is big and size is more than one page, then new page is added and page no. of new page is written on old page of same account.

Every ledger has index in the beginning of it. It is typically alphabet order. One page is distributed for every word of alphabet. Ledger’s account is prepared in the form of T.

In big organisation, ledger is divided in different parts. These parts are also called the types of ledger.

sides of Accounts in Ledger :-

1. Left side shows debit
2. Right side shows credit.

The following columns are made both, the side of account in ledger :-

i) Date
ii) Particulars
iii) Folio
iv) Amount

Ledger in Computer Accounting

In computer accounting, ledger creation is so important because first of all different accounts are created in ledger creation under specific head.