Question

Which of the following item is found in a Journal entry?
$1$. Date of each transaction
$2$. Rupee amount of each debit and credit
$3$. Explanation of each transaction.

• A. $1$ only
• B. $1$ & $2$ only
• C. $2$ & $3$ only
• D. All of the above

Answer 1

Answer: (D)

All of the above

The essential elements of the journal entry format are as follows:

• A header line may include a journal entry number and entry date. The number is used to index the journal entry, so that it can be properly stored and retrieved from storage.
• The first column includes the account number and account name into which the entry is recorded. This field is indented if it is for the account being credited.
• The second column contains the debit amount to be entered.
• The third column contains the credit amount to be entered.
• A footer line may also include a brief description of the reason for the entry. An entry in the footer line is highly recommended, since there are so many journal entries that it is easy to forget why each entry was made.