What is a General Ledger? — Foundation of double-entry bookkeeping
The general ledger is the central bookkeeping record where all business financial transactions are recorded, organized by accounts. The basis is double-entry bookkeeping: every transaction is recorded in two accounts — debit and credit.
Definition
The general ledger is the central bookkeeping record where all business financial transactions are recorded, organized by accounts. The basis is double-entry bookkeeping: every transaction is recorded in two accounts — debit and credit.
Details
Chart of accounts in MK: class 0 (non-current assets), 1 (inventory), 2 (receivables), 3 (financial assets), 4 (equity and liabilities), 5 (expenses), 6 (revenue), 7 (opening/closing). Mandatory for all DOO/DOOEL.
Example
Recording a sale: Debit account 220 (Receivables) 11,800 MKD / Credit account 601 (Revenue) 10,000 MKD + account 470 (VAT liability) 1,800 MKD.