posting

Examples of posting in the following topics:

• The Post-Closing Trial Balance

  • A post-closing trial balance is a trial balance taken after the closing entries have been posted.
  • The post-closing trial balance is the last step in the accounting cycle.
  • The post-closing trial balance can only be prepared after each closing entry has been posted to the General Ledger.
  • After the closing entries are posted, these temporary accounts will have a zero balance.
  • That is why it is necessary to run a post-closing trial balance.

• Posting

  • Posting is recording in the ledger accounts the information contained in the journal.
  • Posting is always from the journal to the ledger accounts, and can be done two ways: the journal entries can be posted at the time the transaction is journalized; or the posting can be done at a set time like the end of the day, week, or month.
  • When posting the general journal, the date used in the ledger accounts is the date the transaction was recorded in the journal, not the date the journal entry was posted to the ledger accounts.
  • The account number appears in the Posting Reference column of the General Journal.
  • Describe how posting affects the General Journal, Special Journal and General Ledger

• What Is the Accounting Cycle?

  • After all the transactions for the period have been entered into the appropriate journals, the journals are posted to the general ledger .
  • After the financials are prepared, the month end adjusting and closing entries are recorded (journalized) and posted to the appropriate accounts.
  • After those entries are made, a post-closing trial balance is run.
  • The post-closing trial balance verifies the debits equal the credits and that all beginning balances for permanent accounts are in place.

• The Trial Balance

  • The journal entries were then posted to the general ledger.
  • The post-closing trial balance proves debits still equal credits after the closing entries have been made.

• Reporting Receivables

  • For example, all the unpaid invoices posted in the past month are current, all the unpaid invoices from the prior month are over 30 days, the unpaid invoices from two months ago are over 60 days, etc.

• Inputs to Accounting

  • The general ledger is where posting to the accounts occurs.
  • Posting is the process of recording amounts as credits, (right side), and amounts as debits, (left side), in the pages of the general ledger.

• Reporting Contingencies

  • A warranty expense is debited for the provision amount that will offset product sales revenue in the income statement and a credit is posted to warranty provision liability.

• Activities to Manage Receivables

  • The change in the bad debt provision from year to year is posted to the bad debt expense account in the income statement.

• Dealing with Foreign Currency and Bad Debts

  • The change in the bad debt provision from year to year is posted to the bad debt expense account in the income statement .

• Recognizing Notes Receivable

  • The change in the bad debt provision from year to year is posted to the bad debt expense account in the income statement.