Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 48 - No. 30)
What are the advantages of using a general journal?
It reduces the risk of fraud by employees or other people, and it also streamlines the checking for errors when posting entries in the ledger accounts.
It can be passed on to any qualified person to summarize and complete full and accurate books for the business.
It provides a full and permanent record of many different income transactions in the direct order in which they occurred, and it allows for the reduction of error or fraud.
It simplifies the accounting process by eliminating the need for a chart of accounts.
Explanation
The general journal provides a full record of transactions, and also aids in error detection and reducing fraud. It allows the accounting to be streamlined. It doesn't replace the need for a chart of accounts.
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