QuestionJune 2, 2025

Select all that apply Which of the following statements are correct regarding a journal? In a journal, both the debit and credit side of the transaction can be seen. Transactions are generally entered in chronological order. Entering transactions into a journal is called posting. A journal is used to record business transactions. A journal reports the balance of all the accounts in a business.

Select all that apply Which of the following statements are correct regarding a journal? In a journal, both the debit and credit side of the transaction can be seen. Transactions are generally entered in chronological order. Entering transactions into a journal is called posting. A journal is used to record business transactions. A journal reports the balance of all the accounts in a business.
Select all that apply
Which of the following statements are correct regarding a journal?
In a journal, both the debit and credit side of the transaction can be seen.
Transactions are generally entered in chronological order.
Entering transactions into a journal is called posting.
A journal is used to record business transactions.
A journal reports the balance of all the accounts in a business.

Solution
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Answer

Statement 1, Statement 2, Statement 4 Explanation 1. Identify correct statements Analyze each statement for accuracy regarding the function and purpose of a journal in accounting. - **Statement 1**: In a journal, both the debit and credit side of the transaction can be seen. - Correct. Journals record both sides of transactions. - **Statement 2**: Transactions are generally entered in chronological order. - Correct. Journals list transactions by date. - **Statement 3**: Entering transactions into a journal is called posting. - Incorrect. Posting refers to transferring journal entries to the ledger. - **Statement 4**: A journal is used to record business transactions. - Correct. Journals are primary records of transactions. - **Statement 5**: A journal reports the balance of all the accounts in a business. - Incorrect. Balances are reported in ledgers, not journals.

Explanation

1. Identify correct statements<br /> Analyze each statement for accuracy regarding the function and purpose of a journal in accounting.<br /><br />- **Statement 1**: In a journal, both the debit and credit side of the transaction can be seen. <br /> - Correct. Journals record both sides of transactions.<br /> <br />- **Statement 2**: Transactions are generally entered in chronological order.<br /> - Correct. Journals list transactions by date.<br /> <br />- **Statement 3**: Entering transactions into a journal is called posting.<br /> - Incorrect. Posting refers to transferring journal entries to the ledger.<br /> <br />- **Statement 4**: A journal is used to record business transactions.<br /> - Correct. Journals are primary records of transactions.<br /> <br />- **Statement 5**: A journal reports the balance of all the accounts in a business.<br /> - Incorrect. Balances are reported in ledgers, not journals.
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