The process of copying the information from the journal to the ledger is called:
A) posting.
B) summarizing.
C) journalizing.
D) preparing the financial statements.

Question

Quizplus · Accepted Answer

Posting involves transferring the information of individual transactions from the journal to the corresponding accounts in the ledger. The purpose is to maintain a record of all the transactions and ensure that the information is accurately reflected in the financial statements. Summarizing involves aggregating similar transactions to derive meaningful information like totals, sub-totals, etc. Journalizing involves recording transactions in the chronological order in the journal, and preparing financial statements involves presenting the financial performance and position of the business to various stakeholders.

The Process of Copying the Information from the Journal to the Ledger